Empirical Study of Relationship between Tourism Development and Economic Growth in Gansu Province

This paper based on vector auto-regression model( VAR) to analyze the relationship between the tourism development and economic growth in Gansu Province,which was on the silk road. The results showed that a long-run equilibrium cointegration relationship existed between the tourism development and economic growth in Gansu Province. Economic growth was the Granger cause for the increase of tourism revenue, but the development of the tourism was not Granger cause of economic growth. Gansu Provincecs economic growth had a positive impact on the development of its tourism industry. At the same time, a structural impact of tourism revenue to economic growth fluctuations was limited.