ABSTRACT
This study examines the causal relationship between tourism expansion and exports growth using Thai macroeconomic data. A series of bivariate Vector Autoregressive (VAR) models are estimated. Granger causality tests are conducted in order to investigate short-run equilibrium relationship between international tourist arrivals and exports volume. An evidence of a bi-directional causality does not only suggest that tourism marketing programs can be used to induce international trade growth, but also that exports promotion programs are an alternative means to reinforce tourism industry development. Managerial implications along with the importance of societal marketing to the tourism industry are discussed.