Tourism and high speed rail in Spain: Does the AVE increase local visitors?

Abstract

This paper analyses from an empirical point of view the relationship between the provision of high-speed rail services (HSR) and the evolution of tourism at the local level in Spain. We have built a database of 124 municipalities during the 2005-2012 period to study the effects of the introduction of new HSR corridors on the number of visitors and their total and average stay at several end-line and intermediate cities as compared to similar counterparts not having such an infrastructure. We combine both difference-in-difference and panel data techniques to find that these effects are, in general, extremely weak or just restricted to larger cities, once other determining factors are controlled for.