This paper estimates the economy-wide economic impacts of tourism for various market segments. Moving beyond volume (arrivals) versus value (direct tourism expenditure), the author examines various economy-wide measures of economic impact. Different visitor spending has different flow-on effects, depending on each sector's taxation rate, import quotient and capital–labour ratio. It is important for destination marketing organizations and tourism policy makers to factor in these characteristics when considering the full economic impact of tourism expenditure.
AdamsP.D.ParmenterB.R. (1995), ‘An applied general equilibrium analysis of the economic effects of tourism in a quite small, quite open economy’, Applied Economics, Vol 27, pp 985–994.
2.
ArmingtonP.S. (1969), ‘A theory of demand for products distinguished by place of production’, IMF Staff Papers, Vol 16, pp 159–178.
3.
Australian Government (2004), ‘A medium to long term strategy for tourism: the future view of Australian tourism’, White Paper, Canberra.
4.
BlakeA. (2000), ‘The economic effects of tourism in Spain’, Tourism and Travel Research Institute Discussion Paper 2000/2 (http://www.nottingham.ac.uk/ttri/pdf/2000_2.pdf, accessed 23 March 2006).
5.
BlakeA.SinclairM.T. (2003), ‘Tourism crisis management US response to September 11’, Annals of Tourism Research, Vol 30, No 4, pp 813–832.
6.
BlakeA.DurbarryR.SinclairM.T.SugiyartoG. (2001), ‘Modelling tourism and travel using tourism satellite accounts and tourism policy and forecasting models’, Tourism and Travel Research Institute Discussion Paper 2001/4 (http://www.nottingham.ac.uk/ttri/pdf/2001_4.PDF, accessed 23 March 2006).
7.
BlakeA.SinclairM.T.SugiyartoG. (2003), ‘Quantifying the impact of foot and mouth disease on tourism and the UK economy’, Tourism Economics, Vol 9, No 4, pp 449–465.
ButlerR. (1980), ‘The concept of a tourist area life cycle of evolution: Implications for management of resources’, The Canadian Geographer, Vol 24, No 1, pp 5–12.
10.
ButlerR., ed (2006a), The Tourism Area Life Cycle: Applications and Modifications, Vol 1, Channel View Publications, Bristol.
11.
ButlerR., ed (2006b), The Tourism Area Life Cycle: Conceptual and Theoretical Issues, Vol 2, Channel View Publications, Bristol.
12.
ChoyD.J.L. (1992), ‘Life cycle models for Pacific island destinations’, Journal of Travel Research, Vol 30, pp 26–31.
13.
CraggsR.SchofieldP. (2009), ‘Expenditure-based segmentation and visitor profiling at The Quays in Salford, UK’, Tourism Economics, Vol 15, No 1, pp 243–260.
14.
CroesR.R.SevertD.E. (2007), ‘Research report: Evaluating short-term tourism economic effects in confined economies – conceptual and empirical considerations’, Tourism Economics, Vol 13, No 2, pp 289–307.
DwyerL.ForsythP.SpurrR. (2004), ‘Evaluating tourism's economic effects: New and old approaches’, Tourism Management, Vol 25, No 3, pp 307–317.
19.
DwyerL.ForsythP.FredlineL.DeeryM.JagoL.LundieS. (2007a), ‘Yield measures for special-interest Australian inbound tourism markets’, Tourism Economics, Vol 13, No 3, pp 421–440.
20.
DwyerL.ForsythP.SpurrR. (2007b), ‘Contrasting the uses of TSAs and CGE models: Measuring tourism yield and productivity’, Tourism Economics, Vol 13, No 4, pp 537–551.
21.
EngelJ.F.BlackwellR.D.MiniardP. W. (1994), Consumer Behavior, Dryden, Fort Worth, TX.
22.
GooroochurnN.SinclairM.T. (2005), ‘Economics of tourism taxation: Evidence from Mauritius’, Annals of Tourism Research, Vol 32, No 2, pp 478–498.
23.
JonesC.MundayM. (2007), ‘Exploring the environmental consequences of tourism: A satellite account approach’, Journal of Travel Research, Vol 46, No 2, pp 164–172.
24.
KimK.KonanD.E. (2004), ‘Using I–O analysis and CGE modeling to estimate infrastructure demand in Hawaii’, paper presented at the EcoMod Conference Input–Output and General Equilibrium Modeling, 2–4 September 2004, Brussels, Belgium.
25.
KotlerP.BowenJ.T.MakensJ.C. (2006), Marketing for Hospitality and Tourism, 4th edn, Pearson Education Inc, Upper Saddle River, NJ.
26.
KulendranN.DivisekeraS. (2007), ‘Measuring the economic impact of Australian tourism marketing expenditure’, Tourism Economics, Vol 13, No 2, pp 261–274.
27.
KulendranN.DwyerL. (2009), ‘Measuring the return from Australian tourism marketing rxpenditure’, Journal of Travel Research, Vol 47, No 3, pp 275–284.
28.
LaesserC.CrouchG.I. (2006), ‘Segmenting markets by travel expenditure patterns: The case of International visitors to Australia’, Journal of Travel Research, Vol 44, No 4, pp 397–406.
29.
LahrM.de MesnardL. (2004), ‘Biproportional techniques in input–output analysis: Table updating and structural analysis’, Economic Systems Research, Vol 16, No 2, pp 115–134.
30.
LegoherelP. (1998), ‘Towards a market segmentation of tourism trade: Expenditure levels and consumer behavior instability’, Journal of Travel and Tourism Marketing, Vol 7, No 3, pp 19–39.
31.
MarchR. (2008), ‘Rejoinder: The rhetoric and reality of yield at the destination level’, Tourism Economics, Vol 14, No 2, pp 435–438.
32.
MiddletonV.T.C. (1994), Marketing in Travel and Tourism, Heinemann, Chichester.
33.
MokC.IversonT.J. (2000), ‘Expenditure-based segmentation: Taiwanese tourists to Guam’, Tourism Management, Vol 21, No 3, pp 299–305.
34.
PambudiD.McCaugheyN.SmythR. (2009), ‘Computable general equilibrium estimates of the impact of the Bali bombing on the Indonesian economy’, Tourism Management, Vol 30, pp 232–239.
35.
PerdueR.R.BotkinM.R. (1988), ‘Visitor survey versus conversion study’, Annals of Tourism Research, Vol 15, pp 76–87.
36.
PetrickJ.F. (2005), ‘Segmenting cruise passengers with price sensitivity’, Tourism Management, Vol 26, No 5, pp 753–762.
37.
PizamA.ReichelA. (1979), ‘Big spenders and little spenders in US tourism’, Journal of Travel Research, Vol 18, No 2, pp 42–43.
38.
PoloC.ValleE. (2008), ‘A general equilibrium assessment of the impact of a fall in tourism under alternative closure rules: The case of the Balearic Islands’, International Regional Science Review, Vol 31, No 1, pp 3–34.
39.
PrattS.McCabeS.Cortes-JimenezI.BlakeA. (2009), ‘Measuring the effectiveness of destination marketing campaigns: Comparative analysis of conversion studies’, Journal of Travel Research, Vol 49, No 2, pp 179–190.
40.
ScottN.BreakeyN. (2007), ‘Yield applied to destination management: An inefficient analogy?’, Tourism Economics, Vol 13, No 3, pp 441–452.
41.
SiegelW.Ziff-LevineW. (1990), ‘Evaluating tourism advertising campaigns: Conversion vs advertising tracking studies’, Journal of Travel Research, Vol 29, No 1, pp 51–55.
42.
SpottsD.M.MahoneyE.M. (1991), ‘Segmenting visitors to a destination region based on the volume of expenditure’, Journal of Travel Research, Vol 29, No 4, pp 24–31.
43.
SugiyartoG.BlakeA.SinclairM.T. (2003), ‘Tourism and globalization: Economic impact in Indonesia’, Annals of Tourism Research, Vol 30, No 3, pp 683–701.
44.
Tabatchnaia-TamirisaN.LokeM.K.LeungP.TuckerK.A. (1997), ‘Energy and tourism in Hawaii’, Annals of Tourism Research, Vol 24, No 2, pp 390–401.
45.
WoodsideA.G.CookV.J.MindakW. (1987), ‘Profiling the heavy traveller segment’, Journal of Travel Research, Vol 25, No 3, pp 9–14.
46.
ZhouD.YanagidaJ.F.ChakravortyU.LeungP. (1997), ‘Estimating economic impacts from tourism’, Annals of Tourism Research, Vol 24, No 1, pp 76–89.
