The document discusses various methods for measuring the economic impact of tourism, including multiplier models, input-output models, and computable general equilibrium (CGE) models. It provides examples of multiplier values and describes weaknesses in multiplier modeling including restrictive assumptions and data deficiencies. Input-output models are outlined as being able to measure direct, indirect, and induced effects but require significant data. CGE models are presented as potentially more dynamic but also with high data demands.
Communicating the Economic Value of TourismAileen Murray
Here's a copy of my presentation at the Ontario's Southwest Conference in 2014. Communicating the contribution of tourism to the local economy can be a challenge. This presentation focused on bridging the gap between tourism and economic development including tips and tools to measure and report the value of tourism in Ontario’s Southwest to the decision makers in our communities.
Tourism planning is goal-oriented, striving to achieve certain objectives by matching available resources and programs with the needs and wants of people.
PRESENTATION ON Tourist Area Life Cycle
The tourism lifecycle theory was firstly proposed in 1963 by the German researcher Christaller, who described the development of tourism through three stages like a common product, namely “discovery, growth and decline”.
In 1980, Butler developed a model which shows how any tourist resort may grow is known asTourist Area Life Cycle.
Communicating the Economic Value of TourismAileen Murray
Here's a copy of my presentation at the Ontario's Southwest Conference in 2014. Communicating the contribution of tourism to the local economy can be a challenge. This presentation focused on bridging the gap between tourism and economic development including tips and tools to measure and report the value of tourism in Ontario’s Southwest to the decision makers in our communities.
Tourism planning is goal-oriented, striving to achieve certain objectives by matching available resources and programs with the needs and wants of people.
PRESENTATION ON Tourist Area Life Cycle
The tourism lifecycle theory was firstly proposed in 1963 by the German researcher Christaller, who described the development of tourism through three stages like a common product, namely “discovery, growth and decline”.
In 1980, Butler developed a model which shows how any tourist resort may grow is known asTourist Area Life Cycle.
"Create a Positive Economic Impact Through Travel & Tourism"
Here is the Visit Grand Rapids 2013 Overview that was presented at the annual meeting on Feb 18th, 2014.
Unwto paper Macroeconomic Analysis ToolsDavid Vicent
Exploring the Full Economic Impact of Tourism for Policy Making:
Extending the Use of the Tourism Satellite Account through Macroeconomic Analysis Tools
Introduction
In life, there are universal laws that govern everything we do. These laws are so perfect that if you were to align yourself with them, you could have so much prosperity that it would be coming out of your ears. This is because God created the universe in the image and likeness of him. It is failure to follow the universal laws that causes one to fail. The laws that were created consisted of the following: ·
Law of Gratitude: The Law of Gratitude states that you must show gratitude for what you have. By having gratitude, you speed your growth and success faster than you normally would. This is because if you appreciate the things you have, even if they are small things, you are open to receiving more.
Law of Attraction: The Law of Attraction states that if you focus your attention on something long enough you will get it. It all starts in the mind. You think of something and when you think of it, you manifest that in your life. This could be a mental picture of a check or actual cash, but you think about it with an image.
Law of Karma: the Law of Karma states that if you go out and do something bad, it will come back to you with something bad. If you do well for others, good things happen to you. The principle here is to know you can create good or bad through your actions. There will always be an effect no matter what.
Law of Love: the Law of Love states that love is more than emotion or feeling; it is energy. It has substance and can be felt. Love is also considered acceptance of oneself or others. This means that no matter what you do in life if you do not approach or leave the situation out of love, it won't work.
Law of Allowing: The Law of Allowing states that for us to get what we want, we must be receptive to it. We can't merely say to the Universe that we want something if we don't allow ourselves to receive it. This will defeat our purpose for wanting it in the first place.
Law of Vibration: the Law of Vibration states that if you wish on something and use your thoughts to visualize it, you are halfway there to get it. To complete the cycle you must use the Law of Vibration to feel part of what you want. Do this and you'll have anything you want in life.
For everything to function properly there has to be structure. Without structure, our world, or universe, would be in utter chaos. Successful people understand universal laws and apply them daily. They may not acknowledge that to you, but they do follow the laws. There is a higher power and this higher power controls the universe and what we get out of it. People who know this, but wish to direct their own lives, follow the reasons. Successful people don't sit around and say "I'll try," they say yes and act on it.
Chapter - 1
The Law of Attraction
The law of attraction is the most powerful force in the universe. If you work against it, it can only bring you pain and misery. Successful people know this but have kept it hidden from the lower class for centuries because th
all about national income gdp, management , sector models,methods to calculate gdp that you want to learn as a beginner.ppt from CABM students gbpuat, Pantnagar
All about national income that u need to know for beginners. various methods to calculate gdp,gnp etc
presented by students of College of Agribusiness Management, govind ballabh pant university of agriculture & technology.
It is an academic assignment on measures of national income and the negative effects of using the approaches to give the countries macroeconomic status
National income accounting provides us with ex-post data about national income, it cannot explain the level and determinants of national income. The following identities are true for any level of income. In order to explain and predict the level of national income, models are constructed.
Macroeconomics deals with the economy as a whole; it examines the behavior of economic aggregates such as aggregate income, consumption, investment, and the overall level of prices.
Macroeconomics deals with the economy as a whole; it examines the behavior of economic aggregates such as aggregate income, consumption, investment, and the overall level of prices.
Macroeconomics deals with the economy as a whole; it examines the behavior of economic aggregates such as aggregate income, consumption, investment, and the overall level of prices.
Macroeconomics deals with the economy as a whole; it examines the behavior of economic aggregates such as aggregate income, consumption, investment, and the overall level of prices.
Macroeconomics deals with the economy as a whole; it examines the behavior of economic aggregates such as aggregate income, consumption, investment, and the overall level of prices.
Macroeconomics deals with the economy as a whole; it examines the behavior of economic aggregates such as aggregate income, consumption, investment, and the overall level of prices.
Macroeconomics deals with the economy as a whole; it examines the behavior of economic aggregates such as aggregate income, consumption, investment, and the overall level of prices.
Macroeconomics deals with the economy as a whole; it examines the behavior of economic aggregates such as aggregate income, consumption, investment, and the overall level of prices.
Macroeconomics deals with the economy as a whole; it examines the behavior of economic aggregates such as aggregate income, consumption, investment, and the overall level of prices.
Macroeconomics deals with the economy as a whole; it examines the behavior of economic aggregates such as aggregate income, consumption, investment, and the overall level of prices.
Macroeconomics deals with the economy as a whole; it examines the behavior of economic aggregates such as aggregate income, consumption, investment, and the overall level of prices.
Macroeconomics deals with the economy as a whole; it examines the behavior of economic aggregates such as aggregate income, consumption, investment, and the overall level of prices.
Macroeconomics deals with the economy as a whole; it examines the behavior of economic aggregates such as aggregate income, consumption, investment, and the overall level of prices.
Macroeconomics deals with the economy as a whole; it examines the behavior of economic aggregates such as aggregate income, consumption, investment, and the overall level of prices.
Macroeconomics deals with the economy as a whole; it examines the behavior of economic aggregates such as aggregate income, consumption, investment, and the overall level of prices.
Macroeconomics deals with the economy as a whole; it examines the behavior of economic aggregates such as aggregate income, consumption, investment, and the overall level of prices.
Is AI-Generated Content the Future of Content Creation?Cut-the-SaaS
Discover the transformative power of AI in content creation with our presentation, "Is AI-Generated Content the Future of Content Creation?" by Puran Parsani, CEO & Editor of Cut-The-SaaS. Learn how AI-generated content is revolutionizing marketing, publishing, education, healthcare, and finance by offering unprecedented efficiency, creativity, and scalability.
Understanding
AI-Generated Content:
AI-generated content includes text, images, videos, and audio produced by AI without direct human involvement. This technology leverages large datasets to create contextually relevant and coherent material, streamlining content production.
Key Benefits:
Content Creation: Rapidly generate high-quality content for blogs, articles, and social media.
Brainstorming: AI simulates conversations to inspire creative ideas.
Research Assistance: Efficiently summarize and research information.
Market Insights:
The content marketing industry is projected to grow to $17.6 billion by 2032, with AI-generated content expected to dominate over 55% of the market.
Case Study: CNET’s AI Content Controversy:
CNET’s use of AI for news articles led to public scrutiny due to factual inaccuracies, highlighting the need for transparency and human oversight.
Benefits Across Industries:
Marketing: Personalize content at scale and optimize engagement with predictive analytics.
Publishing: Automate content creation for faster publication cycles.
Education: Efficiently generate educational materials.
Healthcare: Create accurate content for patients and professionals.
Finance: Produce timely financial content for decision-making.
Challenges and Ethical Considerations:
Transparency: Disclose AI use to maintain trust.
Bias: Address potential AI biases with diverse datasets.
SEO: Ensure AI content meets SEO standards.
Quality: Maintain high standards to prevent misinformation.
Conclusion:
AI-generated content offers significant benefits in efficiency, personalization, and scalability. However, ethical considerations and quality assurance are crucial for responsible use. Explore the future of content creation with us and see how AI is transforming various industries.
Connect with Us:
Follow Cut-The-SaaS on LinkedIn, Instagram, YouTube, Twitter, and Medium. Visit cut-the-saas.com for more insights and resources.
Core Web Vitals SEO Workshop - improve your performance [pdf]Peter Mead
Core Web Vitals to improve your website performance for better SEO results with CWV.
CWV Topics include:
- Understanding the latest Core Web Vitals including the significance of LCP, INP and CLS + their impact on SEO
- Optimisation techniques from our experts on how to improve your CWV on platforms like WordPress and WP Engine
- The impact of user experience and SEO
As the call for for skilled experts continues to develop, investing in quality education and education from a reputable https://www.safalta.com/online-digital-marketing/best-digital-marketing-institute-in-noida Digital advertising institute in Noida can lead to a a success career on this eve
Mastering Local SEO for Service Businesses in the AI Era is tailored specifically for local service providers like plumbers, dentists, and others seeking to dominate their local search landscape. This session delves into leveraging AI advancements to enhance your online visibility and search rankings through the Content Factory model, designed for creating high-impact, SEO-driven content. Discover the Dollar-a-Day advertising strategy, a cost-effective approach to boost your local SEO efforts and attract more customers with minimal investment. Gain practical insights on optimizing your online presence to meet the specific needs of local service seekers, ensuring your business not only appears but stands out in local searches. This concise, action-oriented workshop is your roadmap to navigating the complexities of digital marketing in the AI age, driving more leads, conversions, and ultimately, success for your local service business.
Key Takeaways:
Embrace AI for Local SEO: Learn to harness the power of AI technologies to optimize your website and content for local search. Understand the pivotal role AI plays in analyzing search trends and consumer behavior, enabling you to tailor your SEO strategies to meet the specific demands of your target local audience. Leverage the Content Factory Model: Discover the step-by-step process of creating SEO-optimized content at scale. This approach ensures a steady stream of high-quality content that engages local customers and boosts your search rankings. Get an action guide on implementing this model, complete with templates and scheduling strategies to maintain a consistent online presence. Maximize ROI with Dollar-a-Day Advertising: Dive into the cost-effective Dollar-a-Day advertising strategy that amplifies your visibility in local searches without breaking the bank. Learn how to strategically allocate your budget across platforms to target potential local customers effectively. The session includes an action guide on setting up, monitoring, and optimizing your ad campaigns to ensure maximum impact with minimal investment.
Influencer marketing isn't just for big brands or consumer products anymore. In 2024, marketers face hurdles like escalating paid channel costs, diminishing organic reach, and building trust in their ideal customer accounts. This session offers practical ways to bring influencer marketing into your organization, to provide cost-effective access to niche audiences, countering budget constraints and rising CPMs. We'll discuss the impact of social algorithms on reach, the trust deficit in traditional advertising and how influencer partnerships offer genuine connections with audiences. Attendees will gain actionable insights to integrate influencer marketing into their strategies, leveraging influencers for impactful campaigns in both B2B and B2C environments. Join us to unlock the potential of influencers in navigating the evolving marketing landscape of 2024 and driving meaningful business growth.
Key Takeaways:
- Educate on the various types of influence we can use as marketers
- Establish the problems that make influencers a priority
- Walk through some practical tactics on HOW to run a program leveraging several of these influence channels
It's another new era of digital and marketers are faced with making big bets on their digital strategy. If you are looking at modernizing your tech stack to support your digital evolution, there are a few can't miss (often overlooked) areas that should be part of every conversation. We'll cover setting your vision, avoiding siloes, adding a democratized approach to data strategy, localization, creating critical governance requirements and more. Attendees will walk away with actions they can take into initiatives they are running today and consider for the future.
A.I. (artificial intelligence) platforms are popping up all the time, and many of them can and should be used to help grow your brand, increase your sales and decrease your marketing costs.In this presentation:We will review some of the best AI platforms that are available for you to use.We will interact with some of the platforms in real-time, so attendees can see how they work.We will also look at some current brands that are using AI to help them create marketing messages, saving them time and money in the process. Lastly, we will discuss the pros and cons of using AI in marketing & branding and have a lively conversation that includes comments from the audience.
Key Takeaways:
Attendees will learn about LLM platforms, like ChatGPT, and how they work, with preset examples and real time interactions with the platform. Attendees will learn about other AI platforms that are creating graphic design elements at the push of a button...pre-set examples and real-time interactions.Attendees will discuss the pros & cons of AI in marketing + branding and share their perspectives with one another. Attendees will learn about the cost savings and the time savings associated with using AI, should they choose to.
How to Use AI to Write a High-Quality Article that Ranksminatamang0021
In the world of content creation, many AI bloggers have drifted away from their original vision, resulting in low-quality articles that search engines overlook. Don't let that happen to you! Join us to discover how to leverage AI tools effectively to craft high-quality content that not only captures your audience's attention but also ranks well on search engines.
Disclaimer: Some of the prompts mentioned here are the examples of Matt Diggity. Please use it as reference and make your own custom prompts.
Mastering Local SEO for Service Businesses in the AI Era is tailored specifically for local service providers like plumbers, dentists, and others seeking to dominate their local search landscape. This session delves into leveraging AI advancements to enhance your online visibility and search rankings through the Content Factory model, designed for creating high-impact, SEO-driven content. Discover the Dollar-a-Day advertising strategy, a cost-effective approach to boost your local SEO efforts and attract more customers with minimal investment. Gain practical insights on optimizing your online presence to meet the specific needs of local service seekers, ensuring your business not only appears but stands out in local searches. This concise, action-oriented workshop is your roadmap to navigating the complexities of digital marketing in the AI age, driving more leads, conversions, and ultimately, success for your local service business.
Key Takeaways:
Embrace AI for Local SEO: Learn to harness the power of AI technologies to optimize your website and content for local search. Understand the pivotal role AI plays in analyzing search trends and consumer behavior, enabling you to tailor your SEO strategies to meet the specific demands of your target local audience. Leverage the Content Factory Model: Discover the step-by-step process of creating SEO-optimized content at scale. This approach ensures a steady stream of high-quality content that engages local customers and boosts your search rankings. Get an action guide on implementing this model, complete with templates and scheduling strategies to maintain a consistent online presence. Maximize ROI with Dollar-a-Day Advertising: Dive into the cost-effective Dollar-a-Day advertising strategy that amplifies your visibility in local searches without breaking the bank. Learn how to strategically allocate your budget across platforms to target potential local customers effectively. The session includes an action guide on setting up, monitoring, and optimizing your ad campaigns to ensure maximum impact with minimal investment.
Mastering Local SEO for Service Businesses in the AI Era is tailored specifically for local service providers like plumbers, dentists, and others seeking to dominate their local search landscape. This session delves into leveraging AI advancements to enhance your online visibility and search rankings through the Content Factory model, designed for creating high-impact, SEO-driven content. Discover the Dollar-a-Day advertising strategy, a cost-effective approach to boost your local SEO efforts and attract more customers with minimal investment. Gain practical insights on optimizing your online presence to meet the specific needs of local service seekers, ensuring your business not only appears but stands out in local searches. This concise, action-oriented workshop is your roadmap to navigating the complexities of digital marketing in the AI age, driving more leads, conversions, and ultimately, success for your local service business.
Key Takeaways:
Embrace AI for Local SEO: Learn to harness the power of AI technologies to optimize your website and content for local search. Understand the pivotal role AI plays in analyzing search trends and consumer behavior, enabling you to tailor your SEO strategies to meet the specific demands of your target local audience. Leverage the Content Factory Model: Discover the step-by-step process of creating SEO-optimized content at scale. This approach ensures a steady stream of high-quality content that engages local customers and boosts your search rankings. Get an action guide on implementing this model, complete with templates and scheduling strategies to maintain a consistent online presence. Maximize ROI with Dollar-a-Day Advertising: Dive into the cost-effective Dollar-a-Day advertising strategy that amplifies your visibility in local searches without breaking the bank. Learn how to strategically allocate your budget across platforms to target potential local customers effectively. The session includes an action guide on setting up, monitoring, and optimizing your ad campaigns to ensure maximum impact with minimal investment.
When most people in the industry talk about online or digital reputation management, what they're really saying is Google search and PPC. And it's usually reactive, left dealing with the aftermath of negative information published somewhere online. That's outdated. It leaves executives, organizations and other high-profile individuals at a high risk of a digital reputation attack that spans channels and tactics. But the tools needed to safeguard against an attack are more cybersecurity-oriented than most marketing and communications professionals can manage. Business leaders Leaders grasp the importance; 83% of executives place reputation in their top five areas of risk, yet only 23% are confident in their ability to address it. To succeed in 2024 and beyond, you need to turn online reputation on its axis and think like an attacker.
Key Takeaways:
- New framework for examining and safeguarding an online reputation
- Tools and techniques to keep you a step ahead
- Practical examples that demonstrate when to act, how to act and how to recover
AI-Powered Personalization: Principles, Use Cases, and Its Impact on CROVWO
In today’s era of AI, personalization is more than just a trend—it’s a fundamental strategy that unlocks numerous opportunities.
When done effectively, personalization builds trust, loyalty, and satisfaction among your users—key factors for business success. However, relying solely on AI capabilities isn’t enough. You need to anchor your approach in solid principles, understand your users’ context, and master the art of persuasion.
Join us as Sarjak Patel and Naitry Saggu from 3rd Eye Consulting unveil a transformative framework. This approach seamlessly integrates your unique context, consumer insights, and conversion goals, paving the way for unparalleled success in personalization.
SEO as the Backbone of Digital MarketingFelipe Bazon
In this talk Felipe Bazon will share how him and his team at Hedgehog Digital share our journey of making C-Levels alike, specially CMOS realize that SEO is the backbone of digital marketing by showing how SEO can contribute to brand awareness, reputation and authority and above all how to use SEO to create more robust global marketing strategies.
The What, Why & How of 3D and AR in Digital CommercePushON Ltd
Vladimir Mulhem has over 20 years of experience in commercialising cutting edge creative technology across construction, marketing and retail.
Previously the founder and Tech and Innovation Director of Creative Content Works working with the likes of Next, John Lewis and JD Sport, he now helps retailers, brands and agencies solve challenges of applying the emerging technologies 3D, AR, VR and Gen AI to real-world problems.
In this webinar, Vladimir will be covering the following topics:
Applications of 3D and AR in Digital Commerce,
Benefits of 3D and AR,
Tools to create, manage and publish 3D and AR in Digital Commerce.
For too many years marketing and sales have operated in silos...while in some forward thinking companies, the two organizations work together to drive new opportunity development and revenue. This session will explore the lessons learned in that beautiful dance that can occur when marketing and sales work together...to drive new opportunity development, account expansion and customer satisfaction.
No, this is not a conversation about MQLs and SQLs. Instead we will focus on a framework that allows the two organizations to drive company success together.
Videos are more engaging, more memorable, and more popular than any other type of content out there. That’s why it’s estimated that 82% of consumer traffic will come from videos by 2025.
And with videos evolving from landscape to portrait and experts promoting shorter clips, one thing remains constant – our brains LOVE videos.
So is there science behind what makes people absolutely irresistible on camera?
The answer: definitely yes.
In this jam-packed session with Stephanie Garcia, you’ll get your hands on a steal-worthy guide that uncovers the art and science to being irresistible on camera. From body language to words that convert, she’ll show you how to captivate on command so that viewers are excited and ready to take action.
Monthly Social Media News Update May 2024Andy Lambert
TL;DR. These are the three themes that stood out to us over the course of last month.
1️⃣ Social media is becoming increasingly significant for brand discovery. Marketers are now understanding the impact of social and budgets are shifting accordingly.
2️⃣ Instagram’s new algorithm and latest guidance will help us maintain organic growth. Instagram continues to evolve, but Reels remains the most crucial tool for growth.
3️⃣ Collaboration will help us unlock growth. Who we work with will define how fast we grow. Meta continues to evolve their Creator Marketplace and now TikTok are beginning to push ‘collabs’ more too.
6. For tourism planning and development strategies,
economic impact analyses with reliable flows of
expenditure data are needed.
International tourism activity is often easier to measure
than domestic tourism activity.
Immigration procedure
currency exchange
specific visitor expenditure surveys
7. In 1986, performance development of service sectors
due to intersectoral linkages.
From the mid-1990s, globalization accelerates service
industries.
Recognition of importance of service sector came in the
establishment of GATS. ( General Agreement of Trade in
Services )
8. The General Agreement on Trade in Services (GATS)
is a treaty of the World Trade Organization (WTO) that
entered into force in January 1995 as a result of
the Uruguay Round negotiations. The treaty was
created to extend the multilateral trading system
to service sector, in the same way the General
Agreement on Tariffs and Trade (GATT) provides such a
system for merchandise trade.
9. Globalization
Globalization refers to the result of collection of forces
that tend to change the way that the economic, political
and cultural worlds operate.
Market-based economy
Geographical distance between economic factors
becomes a factor of diminishing significance.
10. 0 Tourism has been able to stand up to the pressures of
global recession.
0 It is important to examine the economic significance
of the tourism
0level of tourism activity
0type and nature of the economy
0 Developing countries by measuring the ability to
generate inflow of foreign exchange or greater price
flexibility in its export industries.
0 Diversification strategies and to combat regional
imbalance in developed countries.
11. The Significance
of International Tourism
Table 5.1 Principal tourist-generating countries, 1986–2002: expenditure
(US$bn)
Source: Derived from WTO, 1988; 1992; 1997; 2003
12. The Significance of
International Tourism Continued
Table 5.2 Principal destinations in terms of tourism receipts, 1986–2002:
tourism receipts (US$bn)
Source: Derived from WTO, 1988; 1992; 1997; 2003
13. Economic Dependence
on Tourism
Table 5.3 Tourism receipts expressed as a percentage of total export earning
and gross national income, 2001
Source: Derived from Euromonitor, International Monetary Fund (IMF), International Financial Statistics
14. Tourism Satellite
Accounts
0 Based on the need to provide consistency in
measurement:
0 Within a country over time
0 Between countries
0 They are not economic impact models but are usually
built around such models (Input-Output Models)
0 Provide an accounting overview of tourism from a
demand perspective
15.
16. Tourism’s Economic
Impact
0 Tourism’s economic impact is NOT the same as
tourist receipts
0 Full assessment of tourism’s economic impact must
take into account:
0 Leakages of expenditures out of local economy
0 Direct plus indirect plus induced effects
0 Displacement and opportunity costs...
17. Leakages
0When tourists make expenditures within an economy
the amount of money that stays within that economy
depends upon the extent of leakages that occur.
0For ex. if a tourist purchases a souvenir from a gift shop,
the extent of leakages will depen upon whether the
input (row material) was imported or made locally. If it
is imported the tourist is really buying the value added
that was created within the economy.
0i.e. the value of local transport, import, wholesale and
retail margins(goods), government taxes and duties etc.
18. Leakages
0 The reason only a proportion of extra income is
re-spent in the local economy is that other calls
are made on that income, which remove part of the
flow from being re-spent in local transactions.
Primarily these other calls are:
1. Taxation on income
2. That part of extra income which people choose to
save -the marginal propensity to save (MPS)
3. Expenditure on imports.
0 These losses to the direct re-spending chain are
leakages from extra local consumption-income
circulation.
19. Measurement of economic impact
0The calculation of the economic impact of tourist
expenditure is achieved by using multiplier analysis
and the estimation of the economic impact of
tourism development projects is achieved by
resorting (applying) to project appraisal techniques
such as cost-benefit analysis.
0The mesurement of the economic impact, if it is to
be meaningful, must encompass the various effects
of tourist spending as it impacts througout the
economy. That is the direct, indirect and induced
effects associated with expenditure need to be
calculated.
20. The different levels
of tourism’s economic impact
0Direct Effects: it is the value of tourist expenditure less the
value of imports necessary to supply those “front line” goods
and services. The direct impact is likely to be less than the
value of tourist expenditure.
0Indirect Effects: The establishments that directly receive the
tourist expenditure also need to purchase goods and
services from other sectors within the local economy, for ex.
hotels will purchase the services of builders, accountants,
banks, etc.
0Furthermore the suppliers of these goods and services will
also need to purchase the goods and services from other
establishments within the local economy and so the process
continues
0These subsequent rounds of expenditure is known as the
indirect effects
21. 0 Induced Effects: During the direct and indirect rounds of
expenditure, income will accrue to local residents in the form
of wages, salaries, distributed profits, rent, and interest.
0 This addition to local income will be re-spent in the local
economy on goods and services and this will generate
further rounds of economic activity.
0 It is only when all three levels of impact are estimated that the
full positive economic impact of tourism expenditure is fully
assesed.
22.
23. The Multiplier Concept
0The multiplier concept is based upon the recognition
that sales for one firm require purchases from other
firms within the local economy, i.e. the industrial
sectors of an economy are interdependent.
0This means that firms purchase not only primary
inputs such as labor, but also intermediate goods and
services produced by other establishments.
0Therefore, a change in level of final demand for one
sectors output will affect not only the industry in
question, but also other sectors that supply goods to
that sectors that act as suppliers to those sectors as
well.
24. The Multiplier Concept
0 Tourism multipliers have been developed over some years
based on largely Keynesian principles of the recirculation of
a proportion of income by recipients into consumption
spending which then causes further income and
employment.
0 The basis of a simple multiplier is that a direct injection of cash
into an economy, by, say, international tourism expenditure,
means a higher income for suppliers of tourism services.
25. The Multiplier Concept
0 This will be distributed partly as wages and salaries, rent,
interest and profit, and partly as indirect income to
suppliers of goods and services needed by tourism
enterprises.
0 The latter indirect income, distributed to food and beverage
suppliers, electricity and phone companies, fuel distributors,
printers and so on, is also distributed in further factor and
supplier payments.
26. The Multiplier Concept
0Recipients of all the above increased
incomes may then spend or save these
increases.
0To the extent that they choose to spend on
goods and services produced in their home
economy, a round of transactions creates
increased induced income for the
secondary suppliers, who themselves then
have more to spend, and so on. The
multiplier principle is summarized in
Figure 5.1.
30. Types of Multipliers
0 transactions (or sales) multiplier: identifies the increased
volume of business activity by sales turnover value, in relation to
initial tourism expenditure.
0 output multiplier: is similar to the transactions multiplier,
except that it includes the value of all goods and services
produced rather than sold; that is, it may include additions to
inventories.
0 income multiplier: in tourism impact analysis, most multiplier
calculations have been applied to income generated, and the
multiplier concerned may be termed the tourism income
multiplier.
0 employment multiplier: this relates total extra employment
created to direct tourism employment brought about by
increased tourism arrivals.
0 government revenue multiplier: that measures the impact on
government revenue from allsources, associated with an
increase of tourist expenditure.
0 import requirements – these are not normally seen as a
multiplier but have the same characteristics.
31.
32. Models Used to
Measure Tourism’s Economic Impact
0 Base theory models
0 Keynesian multiplier models
0 Ad hoc multiplier models
0 Input–output models
0 Computable General Equilibrium (CGE) models
33. Base Theory Models0 Nathan Associates developed the following model where
0 Er = total local employment;
0 Erc = local employment servicing local demand; and
0 Erx2 is the direct change in employment created by a change in
tourism expenditure
E
E
i
E E
r
rx rc r2
21
1
/
34. Keynesian Multiplier
Models0 Let
0 c = the marginal propensity to consume
0 L = first round leakages
0 ti = the marginal rate of indirect taxation
0 td = marginal rate of tax and deductions
0 b = the marginal rate of transfer payments
0 m = the marginal propensity to import
k
L
c t t b mi d
1
1 1 1( )( )
35. Ad Hoc
Multiplier Models
0 Let
0 A = the proportion of additional tourist
expenditure remaining in the economy after first
round leakages
0 B = the propensity of local people to consume in
the local economy;
0 C = the proportion of expenditure by local people
that accrues as income in the local economy.
A
BC
*
1
1
38. Secondary employment and income 2: Input-Output Analysis- A
sample transactions matrix- Producing sectors(raw) and Consuming
sectors(column)
1 2 3 4 5 6 Final
Demand
Total
Output
Mineral 5 5 15 10 3 5 7 50
Agriculture 2 4 15 2 2 2 12 40
Manufacutring 10 5 20 10 5 5 25 80
Construction 5 2 10 3 10 8 12 50
T&T 2 2 5 2 2 5 22 40
Other Services 4 3 8 5 5 5 20 50
Value Added 22 19 7 18 13 19
Total Input 50 40 80 50 40 50 310
39. Input-Output Models
continued
0ΔX = (I - A) –1ΔY
0Where
0 X = a vector of the total sales of each sector of the
economy
0 A = a matrix of the inter-industry transactions within the
economy;
0 Y = a vector of final demand sales; and
0 I = an identity matrix (equivalent to 1 in simple algebra).
0 Δ = a change in a variable
40. CGE Models
0 Have emerged out of the need to make input-output
models dynamic – therefore they are built to
accommodate
0 price changes
0 resource re-allocation between sectors
0 analyses of wide range of economic changes
0 However, they need significant amounts of data, much
of which is not available
41.
42. Weaknesses and
Limitations of Multiplier Models
0 Restrictive assumptions: Sectors were all assumed to have the
same propensities to import, employ labor, pay taxes and
produce homogenous output. But they are not the same.
0 Data deficiencies. Secondary data are rarely adequate to meet
the requirements of the more demanding and advanced models.
Other diffucilities arise out of the tourism itself as a multi-
product industry directly affecting a large number of sectors.
0 Negative economic impacts: The production of tourism goods
and services requires the commitments of resources that could
otherwise be used for alternative purposes an this creates
alternative costs or opportunity costs. Where tourism
development substitutes one form of expenditure and
eceonomic activity for another, this is known as the
displacement effect.
43. The Size of
Multiplier Values
Table 5.5 The range value of tourism output multipliers for selected destinations
44. The Size of
Multiplier Values (cont’d)
Table 5.6 The range of tourism income multipliers for selected types of destinations
Source: Compiled by the authors from published articles and unpublished government reports
45.
46. Detailed Multiplier
Models can be used to…
0analyse national or regional effects of public or
private sector investment in tourism projects
0simulate the economic impact, sector by sector, of
any proposed tourism developments;
0examine the relative magnitudes of the impacts
made by different types of tourism and by tourism
compared with other sectors of the economy; and
0identify the optimal tourism mix (those
associated with relatively high net benefits)
47. Conclusion
0The economic impact of tourism is generally
positive but with some negative aspects
0The literature is biased
0Tourism Satellite Accounts demonstrate the
economic significance of tourism
0There have been a variety of attempts to build
a robust model to measure the economic
impact of tourism and input-output and CGE
models provide us with the best tools – but at
the cost of high data demands.