Jack Corgel

If history is a guide, then investors should expect hotel incomes to keep pace with inflation during this current period of high and seemingly persistent inflation

The inflation effect on hotel revenues and expenses was statistically significant. Read on to see if revenues or expenses were more closely tied to inflation.

During periods of elevated energy prices concerns about leisure and business travel stagnation become real. Travel requiring overnight accommodations is highly and predominantly discretionary. Leisure travel expenditures give way to necessities when energy prices spike.

The cases for, and, against a complete recovery are conceptual and not data driven because abstractions from historical data following previous shocks to travel demand are inappropriate since behaviors were unaffected then by significant technological advancements in telecommunications that altered business travel options.