The Tourism Industry And Its Impact On The Economy

This comes in the form of taxes that the government gets to collect from businesses that are involved in the tourism industry (Croes, 2003). The economy of a country also benefits from a strong tourism industry because it encourages the influx of foreign reserves into the country through a higher level of spending (mostly by foreign visitors) within the country (Narayan, Narayan, Prasad, & Prasad, 2010). In general, it would be safe to suggest that a person’s perception about the impact of the tourism industry or any of the niches under it on a country would depend on how he thinks it (tourism industry) would have an effect on the economy (Epler, 2007). A positive perception on the economic impacts of an independent variable would, in theory,

A good case in point here would be countries that do not have a robust manufacturing and other small business-spawning sectors but are still economic performers. In a study published in the Journal of Rural Studies, for example, a group of researchers discussed the impact of rural tourism on the development of livelihood strategies in Romania; it was concluded in the said study that rural tourism is a good way to empower the people to be more involved in livelihood creation programs so that they do not end up not having any means to generate income either from a job or small business (Iorio & Corsale, 2010). Tourism niches, especially the ones that are touted to be more sustainable (a good example of which is agricultural tourism) are starting to gain traction as more and more studies centered on sustainability and its impact on long term livelihood dynamics are being conducted (Steel,

Wickens & Briedenhann (2004) argued that one of the key challenges in developing rural areas is the lack of infrastructure and other avenues needed for a community to grow into a significant (and often bigger) economic node or center. They suggested that the government agencies that are in charge of such areas should look into the use of tourism (i.e. rural tourism) to promote economic development in rural areas, citing the ability of businesses that are related to any tourism activities to create jobs (Briedenhann & Wickens, 2004). The ability of the tourism industry and the businesses that operate within it to create jobs even in rural communities (where this has been identified as a key challenge) has long been proven by numerous previously published studies (Ribeiro & Marques, 2002). Most rural area residents tend to occupy agriculture-related jobs. One of the major concerns about agriculture-related jobs is that they are not always available to everyone. There can only be a certain level of farmers who can farm a fixed piece of land. With the entrance of tourism businesses in rural areas, the number of unemployed people in such areas do not only get lowered; the diversity of jobs that are available to the residents there significantly improves to. All in all, such a scenario should be a boon for the residents and the rural communities that are a