Moreover, tourism development can cause economical pressure to the government. The developers might want to develop infrastructures such as roads, airports and lodging system but at the same time, it is a challenge for the government due to huge amount of money for the taxpayers. In addition, some problems might come up because of seasonal tourism. Since seasonal tourism is not long terms, it can create unemployment during the off seasons which affects economically. Lastly, the countries which are directly focusing on tourism for the national economy have a huge risk of economic disaster.
A sound example is presented by Suchanek (2000) who indicates that the portion of the population living below the poverty line increase while the tourist industry expanded. Therefore, the main issue the governments in developed countries that promote tourism have to solve is how to make the money earned by the industry remain in the destination economy. According to the UNWTO (1995) the main causes for leakage include import of material, equipment and non-durable goods, repatriation of profits by foreign companies, repatriation of income by expats, interests paid for foreign loans and marketing expenses abroad. Therefore, much effort is put by the local
Tourism can also affect the population living in the country due to the amount of tourism which furthers the idea of more jobs need to be created for the new tourists. Of course, the impacts of tourism on the country as well as the people in that country can be positive or negative. Those impacts can either last a long time for example the environmental can be negatively affected, or it can also be a short-term affect for example the economy of that country can be improved by a lot, but it wouldn’t always be positive for a long time. Tourism can also cause problems, such as social dislocation, loss of cultural heritage, economic dependence and ecological degradation. Sustainable tourism is becoming so popular that some say that what we presently call ‘alternative’ will
The price will raise when a government prints too much money, because the money loses some its value. To make up this loss of money the government or even businesses will raise prices. This is called inflation in the economic world. 10. How does the economy affect your personal
Civil law systems yield unpredictable changes that reduce people 's willingness to invest long-term. Lack of long-term invests results in slowed growth and lowers the standard of living. Adhering to legally binding contracts and protecting people 's property are major reasons why common law systems show 1/3 higher economic growth and a standard of living that is 20% greater than their counterpart. Lastly, the author identifies two other broad categories of institutions, inclusive
It is obvious that tourism bring lots of money and employment opportunities for local people. Spain, Greece, and Italy are good examples of countries grew wealthy by tourism. But I have recognized that the tourism brings negative effects at the same time. Tourism is not always beneficial because of these three reasons: environmental impact, destruction of local culture, and damage of cultural attractions. First of all, environmental impact is a major problem.
Tourism is said to be one of the fastest growing economic activities in the world (Filion et al., 1994). However tourism can have opposite effects according to the way how to manage it. Tourism can have positive impact on the socio-cultural, economic and environmental sides such as improve local people’s knowledge by having interaction with foreigner, have a significant opportunity to develop for many countries and communities and the government will try to improve their own countries’ image by reducing the pollution. But there will also have the negative effect on each area for example loss of traditional culture, increase cost of living for local people and also damage the environment by tourism development. In this essay, I’m going to talk about the negative and
An example of this is the Chitwan National Park, which only hire local residents because it helps to benefit the economic of the country. It showed that tourism also help to develop and improve local services and infrastructure, such as rebuilding of highways and roads positively impact both of the locals and tourists who come to visit. However tourism has some negative effects, including rising prices in cities and towns experiencing mass tourism. If businesses realize they can get more money from tourists, the price of property, goods and services will increase.
And build new construction while improving facilities - Alleviates poverty o Tourism and hospitality industry gives worker chance to gain money and make business in order to not being poor - Changing lifestyle and increased standard of living o When that country become tourist places, they will need to develop in city and make lifestyle looks luxury and easy access to connect main tourist places. Thus, standard living of people become better in economy due to tourism bring high GDP in country. The negative Socio-environment impacts of tourism and hospitality divided into 2 parts - Crime rates o The number crime rates would strongly increase such as crime against persons consist of robbery and murder, crime against property like thief at home. These reason will push more criminal in that country because of multi – nations and people around the world come to visit without knowing their background type. - Spread of
Direct effects are those that stem from direct earnings from the tourism industry. An example would be the earnings that a person makes from labour related to the tourism sector. These could be people who work in a hotel, restaurant, tour company, taxi company and more. However, the extent to which direct effects improve the situation of the poor, greatly dependson the country, labour market, tourism seasonality and more. Secondary effects are those that stem from non-tourism related activities.