Distribution of Income from Tourism-Sensitive Employment

Abstract

Travel and tourism represent important economic activities that contribute to the vibrancy of regional economies and provide a source of both entrepreneurial and household income. Understanding the role of tourism in providing household income requires a thorough assessment of occupational structure and labour market characteristics. Furthermore, spatial differences of where labour is employed and income is generated are needed to understand better the role of tourism across the varied landscapes of alternative region types; from urban and suburban communities to remote, rural towns. This paper reports on a detailed assessment of income distribution resulting from wage and salary employment in tourism-sensitive sectors. Empirically, this was accomplished using secondary data from a variety of standardized sources for counties at state in the Upper Midwest portion of the USA. The results suggest that aggregate statistics on total jobs created and income generated mask important elements that allow a more complete understanding of the jobs and income created by travel and tourism sectors as they respond to the spending of tourists. Income inequality in tourism employment is both a sector-specific and spatial attribute.

Keywords

income distribution wage and salary employment tourism-related employment

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