Tourism

Chapter One

Learning Objectives

Know the economic generators and impact of tourism.

Perceive the economic importance of tourism in various regions of the world.

Know about tourism satellite accounts.

Understand multipliers.

Know about balance of payments.

Comprehend elasticity and inelasticity.

Introduction

Tourism is a powerful economic force providing employment, foreign exchange, income, and tax revenue. The generators of economic impact for a city, a state, a province, a country, or a destination area are visitors, their expenditures, and the multiplier effect. The economic impact of tourism spending is a function of the numbers of domestic and international visitors and their expenditures (see Chapter 1). Because of the economic importance of tourism, the World Tourism Organization (WTO) maintains statistics by region and country on tourism arrivals (visitors) and both tourism expenditures (what a country spends) and receipts (what a country receives from visitor expenditures). Tourism destinations are becoming increasingly competitive as more and more destinations look at tourism to become the ne ... read full excerpt from Tourism: Principles, Practices, Philosophies ebook