Tourism Topic 2.2 Economic Impacts of Tourism

Overdependence on tourism can negatively affect the economy during:

• Economic booms

• Stable political situations

• Disease outbreaks

• High tourist arrivals

Economic leakages in tourism mean:

• Increased local revenue

• Loss of tourism revenue to other economies

• Sustainable tourism practices

• Growth in local businesses

What is a positive economic impact of tourism?

• Environmental degradation

• Employment opportunities

• Cultural clashes

• Pollution

What type of events can cause a decline in tourism and impact the economy?

• Natural disasters

• Cultural festivals

• Economic growth

• Increased travel motivation

What characterizes informal employment in tourism?

• Fixed hours and stable pay

• Signed contract

• Irregular work hours and fluctuating pay

• High job security

Overdependence on tourism can make an economy vulnerable to:

• Economic booms

• Stable tourist arrivals

• External shocks like natural disasters and political unrest

• Sustainable development

Which sector benefits from employment opportunities due to tourism?

• Agriculture

• Manufacturing

• Formal and informal tourism sectors

• Mining

What characterizes economic leakages in the tourism industry?

• Local reinvestment of all tourism revenue

• Loss of tourism revenue to foreign economies

• Growth in local employment

• Increased local tax revenue

An example of tourism's impact during a natural disaster is:

• Increased tourist arrivals

• Stable hotel occupancy

• Loss of revenue

• Growth in local businesses

How can an economic downturn affect tourism?

• Increase in tourist arrivals

• Reduction in travel due to financial constraints

• Stable travel motivation

• Growth in luxury tourism