The Economic Impact Of Tourism

Tourism Impacts

Tourism is an activity that can cause may impacts in one destination, according United Nations Environment Program (UNEP, 2015) the tourism impacts are divided in three types: economics, environmental and sociocultural impacts.

1) Economic Impacts:

The economic impacts that tourism generates can be positive or negative.

The positive impacts are that it creates jobs, appears new economic activities and companies, increasing demand of local products, higher infrastructures development, increase state benefits and it contributes to the development of the local economies.

The negative impacts are that the jobs are seasonal jobs with a low salary, inflation increases caused for the tourists that has a higher acquisitive level than the local people, rising price of land and housing, the economy depends overmuch on tourism and the tourism benefits falls into the foreigner companies.

Tourism development can cost the local government and local taxpayers a huge amount of money. Developers may want the government to improve the airport, roads and other infrastructure, and possibly to provide tax breaks and other financial advantages, which are costly activities for the government. Public resources spent on subsidized infrastructure or tax breaks may reduce government investment in other critical areas such as education and health.

Increasing demand for basic services and goods from tourists will often cause price hikes that negatively affect local residents whose