Tourism 2.2

How does tourism affect the economies of places?

• Lower income generated from tourists’ spending on consumer goods and services at tourist destination regions

• Higher income generated from tourists’ spending on consumer goods and services at tourist destination regions

• Decreased employment opportunities in the formal and informal tourism sectors

• Increased employment in the formal and informal tourism sectors at tourist generating and destination regions

What are the positive economic impacts brought about by tourism?

• Overdependence on tourism, which increases vulnerability to a sudden fall in tourist numbers

• Economic leakages resulting in less tourism revenue

• Income generation from tourists' spending on consumer goods and services

• Increased employment in the formal and informal tourism sectors

What are the negative economic impacts brought about by tourism?

• Income generation from tourists' spending on consumer goods and services

• Increased employment in the formal and informal tourism sectors

• Economic leakages resulting in less tourism revenue

• Overdependence on tourism, which increases vulnerability to a sudden fall in tourist numbers

What is an economic leakage in the context of tourism?

• A situation where tourists spend money on local goods and services

• A situation where tourism revenue is evenly distributed among all sectors of the economy

• A situation where revenue generated by tourism is lost to foreign-owned businesses for the import of goods and services

• A situation where all tourism revenue remains within the local host community

What can lead to overdependence on tourism in a country?

• A sudden fall in tourist numbers due to natural disasters

• A steady increase in tourist arrivals over the years

• Diversification of the economy through various industries

• A balanced mix of tourism and other economic sectors

How can natural disasters impact the tourism industry?

• Increase in tourist arrivals due to curiosity about the disaster

• Reduction in travel costs leading to more tourists visiting the affected area

• Enhancement of tourist attractions through disaster recovery efforts

• Destruction of tourism infrastructure hindering people from travelling

What was the impact of the COVID-19 pandemic on global tourism?

• Significant reduction in tourist arrivals due to travel restrictions and lockdowns

• No impact on tourism as people continued to travel as usual

• Increase in tourist arrivals due to pent-up travel demand

• Shift towards sustainable tourism practices