REC 3090 Lecture Notes - Lecture 4: Automotive Products, Note-Taking, World Trade Organization

• School: University of Manitoba
• Department: Recreation Studies
• Course: REC 3090
• Professor: Kelsey Johanson

Document Summary

International tourism receipts combined with passenger transport currently total more than us$ 575 billion - making tourism the world"s number one export earner, ahead of automotive products, chemicals, petroleum and food: tourism economic impacts, dete(cid:396)(cid:373)i(cid:374)i(cid:374)g e(cid:272)o(cid:374)o(cid:373)i(cid:272) i(cid:373)pa(cid:272)t is t(cid:396)i(cid:272)k(cid:455)! Negative economic impacts of tourism: leakage, enclave tourism, economic dependence, seasonal character of jobs. Leakage: the direct income for an area is the amount of tourist expenditure that remains locally after taxes, profits, and wages are paid outside the area and after imports are purchased; these subtracted amounts are called leakage. In most all-inclusive package tours, about 80% of travellers" expenditures go to the airlines, hotels and other international companies, and not to local businesses or workers. In addition, significant amounts of income actually retained at destination level can leave again through leakage: there are two main ways that leakage occurs: