(2) An indirect expenditure: activities above create business transactions (airfares,
tour operators). Conversely, bird watching, or watching a football match in
another town or country may also create impacts in the first category.
(3) The induced expenditure: local nationals (hotel employees, taxi drivers), having
derived income from above, now spend their money on their needs, locally, or
practice tourism elsewhere!
Tourism expenditures provide an increasing income to the area with a resultant
social impact. Some other points need consideration:
(1) Should tourism be encouraged and expanded and will there be net benefits for
the country or region?
(2) The main benefits are the provision of jobs, increased income and improved
amenities for resident nationals.
(3) In many countries tourism is the major (e.g. Seychelles, Maldives), sometimes
only, employer.
(4) Government revenue may also be increased through taxes (airport tax, environmental protection) and import duties on goods and services imported for tourism
purposes. Sometimes, the tourism industry benefits from fiscal incentives
because it is a job creator.
(5) Besides the development of hotels, tourism requires investment in airports,
roads, public transport, telecommunications and public utilities. This improvement of the infrastructure and superstructure create long-term benefits for other
parts of the economy.
However, too rapid development of tourism can contribute to inflation by causing
land prices to rise, encouraging speculation on land and properties and destruction of
agricultural land. It also puts excessive demand on construction and other industries
that are suppliers to tourism. Next, this may add to the problems of pollution and
danger to the ecology of the country, especially the flora and fauna. Historical,
cultural and archaeological sites may also need protection through restrictive legislation. Then, since most tourism developments are irreversible, sudden changes in
demand may lead to greater unemployment, substantial trading losses and increases
social tensions. Facilities cannot often be converted to other uses and the creation of
alternative employment takes time and substantial investment. Finally, social disadvantages may arise. The presence of a large number of tourists encourages consumption and behaviour patterns which are often inappropriate for local nationals.
1.2.11 Transportation
Transportation networks provide the backbone for the economy and without them
much of our today civilisation could not exist. Transport is used by many people,
who are able to observe and experience the defects (e.g. not enough seats, timetable
not followed) of the transport facilities provided to them. Among other things, this
1.2 Examples of Infrastructure
19
tour operators). Conversely, bird watching, or watching a football match in
another town or country may also create impacts in the first category.
(3) The induced expenditure: local nationals (hotel employees, taxi drivers), having
derived income from above, now spend their money on their needs, locally, or
practice tourism elsewhere!
Tourism expenditures provide an increasing income to the area with a resultant
social impact. Some other points need consideration:
(1) Should tourism be encouraged and expanded and will there be net benefits for
the country or region?
(2) The main benefits are the provision of jobs, increased income and improved
amenities for resident nationals.
(3) In many countries tourism is the major (e.g. Seychelles, Maldives), sometimes
only, employer.
(4) Government revenue may also be increased through taxes (airport tax, environmental protection) and import duties on goods and services imported for tourism
purposes. Sometimes, the tourism industry benefits from fiscal incentives
because it is a job creator.
(5) Besides the development of hotels, tourism requires investment in airports,
roads, public transport, telecommunications and public utilities. This improvement of the infrastructure and superstructure create long-term benefits for other
parts of the economy.
However, too rapid development of tourism can contribute to inflation by causing
land prices to rise, encouraging speculation on land and properties and destruction of
agricultural land. It also puts excessive demand on construction and other industries
that are suppliers to tourism. Next, this may add to the problems of pollution and
danger to the ecology of the country, especially the flora and fauna. Historical,
cultural and archaeological sites may also need protection through restrictive legislation. Then, since most tourism developments are irreversible, sudden changes in
demand may lead to greater unemployment, substantial trading losses and increases
social tensions. Facilities cannot often be converted to other uses and the creation of
alternative employment takes time and substantial investment. Finally, social disadvantages may arise. The presence of a large number of tourists encourages consumption and behaviour patterns which are often inappropriate for local nationals.
1.2.11 Transportation
Transportation networks provide the backbone for the economy and without them
much of our today civilisation could not exist. Transport is used by many people,
who are able to observe and experience the defects (e.g. not enough seats, timetable
not followed) of the transport facilities provided to them. Among other things, this
1.2 Examples of Infrastructure
19