Source: https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/3-2-7-the-economic-benefits-of-tourism [Revision notes](https://senecalearning.com/en-gb/revision-notes.md) › [IGCSE](https://senecalearning.com/en-gb/revision-notes/igcse.md) › [Geography](https://senecalearning.com/en-gb/revision-notes/igcse/geography.md) › [Edexcel IGCSE](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse.md) › The Economic Benefits of Tourism # The Economic Benefits of Tourism Geography: Edexcel IGCSE, topic 3.2.7 ## Economic Benefits of Tourism Tourism can have positive economic effects on the receiving area. The receiving area is the place tourists go to on holiday (the destination, resort, city etc. that they stay at while away on holiday/vacation). ### Economic impact ![Economic impact](https://image-v2.cdn.app.senecalearning.com/2018-09/248e9686-5354-4427-a960-a73bc15cb7b2/currency-money-.jpg) - Tourism means more foreign income (money), which is good for the economy. - This money can be used in LICs to develop infrastructure. - Tourism brings jobs for local people. ### Economic multiplier effect 1 ![Economic multiplier effect 1](https://image-v2.cdn.app.senecalearning.com/2018-04/583cc639-2b7e-404f-a466-a589bff211b8/shutterstock_632401589.jpg) - In basic words, this is when growth in an area is started by one new industry starting there. - Examples of this effect are: - Expanding a holiday resort or hotel, or putting in a new tourist attraction. - This would create construction jobs. - This would cause the demand for services like shops, schools and hospitals to increase. These all also need staff, making more employment opportunities. ### Economic multiplier effect 2 ![Economic multiplier effect 2](https://image-v2.cdn.app.senecalearning.com/2018-11/3c00a892-b1eb-4fe4-892b-f3549e5fd823/taxi-cab-new-york-usa-.jpg) - Other businesses like taxi companies, coach tour companies (drivers and guides), cafes, ice-cream stalls and restaurants will be attracted to the area to sell to more tourists. - If there are more workers, there is more tax being paid to the government which they can spend on improving roads, education or healthcare etc. - This will result in a higher living standard in the area, further attracting more people and companies. ## Test yourself on The Economic Benefits of Tourism [Practise this topic for free](https://app.senecalearning.com/classroom/course/ef6d2f62-5eb8-4168-aaaf-48efdb77968e/section/dc6da9a2-09ba-4a80-9687-6043bb23c8de/session) - Previous topic: [3.2.6 The Growth of Tourism](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/3-2-6-the-growth-of-tourism.md) - Next topic: [3.2.8 The Social & Cultural Benefits of Tourism](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/3-2-8-the-social-and-cultural-benefits-of-tourism.md) ## Geography: Edexcel IGCSE contents ### 1 Physical Geography - 1.1 River Environments - [1.1.1 Weathering](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-1-1-weathering.md) - [1.1.2 Mass Movement](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-1-2-mass-movement.md) - [1.1.3 Erosion](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-1-3-erosion.md) - [1.1.4 Transportation](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-1-4-transportation.md) - [1.1.5 Deposition](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-1-5-deposition.md) - [1.1.6 River Landforms: Waterfalls & Gorges](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-1-6-river-landforms-waterfalls-and-gorges.md) - [1.1.7 River Landforms: Interlocking Spurs](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-1-7-river-landforms-interlocking-spurs.md) - [1.1.8 River Landforms: Flood Plains](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-1-8-river-landforms-flood-plains.md) - [1.1.9 River Landforms: Point Bars](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-1-9-river-landforms-point-bars.md) - [1.1.10 River Landforms: Levees](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-1-10-river-landforms-levees.md) - [1.1.11 River Landforms: Meanders](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-1-11-river-landforms-meanders.md) - [1.1.12 River Landforms: Oxbow Lakes](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-1-12-river-landforms-oxbow-lakes.md) - [1.1.13 River Landscape Changes: Long Profile](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-1-13-river-landscape-changes-long-profile.md) - [1.1.14 River Landscape Changes: Cross Profile](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-1-14-river-landscape-changes-cross-profile.md) - [1.1.15 Vertical & Lateral Erosion](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-1-15-vertical-and-lateral-erosion.md) - [1.1.16 Flood Risk Factors](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-1-16-flood-risk-factors.md) - [1.1.17 Human Activities on Rivers](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-1-17-human-activities-on-rivers.md) - [1.1.18 River Management: Hard Engineering](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-1-18-river-management-hard-engineering.md) - [1.1.19 River Management: Soft Engineering](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-1-19-river-management-soft-engineering.md) - [1.1.20 Case Study: The River Eden - Landforms](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-1-20-case-study-the-river-eden-landforms.md) - [1.1.21 Case Study: The River Eden - Climate](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-1-21-case-study-the-river-eden-climate.md) - [1.1.22 Case Study: The River Eden - Geology](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-1-22-case-study-the-river-eden-geology.md) - [1.1.23 Case Study: The River Eden - Management](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-1-23-case-study-the-river-eden-management.md) - [1.1.24 Case Study: The River Eden - Human Activity](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-1-24-case-study-the-river-eden-human-activity.md) - [1.1.25 End of Topic Test - River Environments](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-1-25-end-of-topic-test-river-environments.md) - 1.2 Coastal Environments - [1.2.1 Weathering](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-2-1-weathering.md) - [1.2.2 Mass Movement](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-2-2-mass-movement.md) - [1.2.3 Erosion](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-2-3-erosion.md) - [1.2.4 Deposition](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-2-4-deposition.md) - [1.2.5 Longshore Drift](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-2-5-longshore-drift.md) - [1.2.6 Sediment Transportation](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-2-6-sediment-transportation.md) - [1.2.7 Wave Action on Coasts](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-2-7-wave-action-on-coasts.md) - [1.2.8 Other Factors Influencing Coasts](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-2-8-other-factors-influencing-coasts.md) - [1.2.9 Coastal Landforms: Wave-cut Platforms & Cliffs](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-2-9-coastal-landforms-wave-cut-platforms-and-cliffs.md) - [1.2.10 Coastal Landforms: Headlands & Bays](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-2-10-coastal-landforms-headlands-and-bays.md) - [1.2.11 Coastal Landforms: Caves, Arches & Stacks](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-2-11-coastal-landforms-caves-arches-and-stacks.md) - [1.2.12 Coastal Deposition](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-2-12-coastal-deposition.md) - [1.2.13 Spits, Bars & Sand Dunes](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-2-13-spits-bars-and-sand-dunes.md) - [1.2.14 Human Activity on Coasts](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-2-14-human-activity-on-coasts.md) - [1.2.15 Coastal Defences: Hard Engineering](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-2-15-coastal-defences-hard-engineering.md) - [1.2.16 Coastal Defences: Soft Engineering](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-2-16-coastal-defences-soft-engineering.md) - [1.2.17 Coastal Defences: Managed Retreat](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-2-17-coastal-defences-managed-retreat.md) - [1.2.18 Case Study: Holderness Coast Overview](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-2-18-case-study-holderness-coast-overview.md) - [1.2.19 Case Study: Holderness Coast Management](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-2-19-case-study-holderness-coast-management.md) - [1.2.20 Case Study: Holderness Coast Defences](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-2-20-case-study-holderness-coast-defences.md) - [1.2.21 End of Topic Test - Coastal Environments](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-2-21-end-of-topic-test-coastal-environments.md) - 1.3 Hazardous Environments - Tropical Cyclones - [1.3.1 Characteristics of a Tropical Cyclone](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-3-1-characteristics-of-a-tropical-cyclone.md) - [1.3.2 Structure of a Tropical Cyclone](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-3-2-structure-of-a-tropical-cyclone.md) - [1.3.3 Physical Hazards of Tropical Cyclones](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-3-3-physical-hazards-of-tropical-cyclones.md) - [1.3.4 The Impacts of Tropical Cyclones](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-3-4-the-impacts-of-tropical-cyclones.md) - [1.3.5 Responses to Tropical Cyclones](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-3-5-responses-to-tropical-cyclones.md) - [1.3.6 Vulnerability to Tropical Cyclones](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-3-6-vulnerability-to-tropical-cyclones.md) - [1.3.7 Preparing for Tropical Cyclones](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-3-7-preparing-for-tropical-cyclones.md) - [1.3.8 Case Study: Katrina](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-3-8-case-study-katrina.md) - [1.3.9 Case Study: Nargis](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-3-9-case-study-nargis.md) - 1.4 Hazardous Environments - Earthquakes & Volcanoes - [1.4.1 Earthquakes](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-4-1-earthquakes.md) - [1.4.2 Features of an Earthquake](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-4-2-features-of-an-earthquake.md) - [1.4.3 Types of Earthquake](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-4-3-types-of-earthquake.md) - [1.4.4 Case Study: L'Aquila](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-4-4-case-study-laquila.md) - [1.4.5 Case Study: Chile](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-4-5-case-study-chile.md) - [1.4.6 Case Study: Japan & Pakistan - Planning](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-4-6-case-study-japan-and-pakistan-planning.md) - [1.4.7 Volcanoes](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-4-7-volcanoes.md) - [1.4.8 Types of Volcanoes](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-4-8-types-of-volcanoes.md) - [1.4.9 Volcanic Eruptions](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/1-4-9-volcanic-eruptions.md) ### 2 Human Geography - 2.1 Economic Activity & Energy - [2.1.1 Increasing Energy Consumption](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/2-1-1-increasing-energy-consumption.md) - [2.1.2 Non-Renewable Energy - Nuclear](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/2-1-2-non-renewable-energy-nuclear.md) - [2.1.3 Non-Renewable Energy - Fossil Fuels](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/2-1-3-non-renewable-energy-fossil-fuels.md) - [2.1.4 Renewable Energy - Solar](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/2-1-4-renewable-energy-solar.md) - [2.1.5 Renewable Energy - Water & Bio](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/2-1-5-renewable-energy-water-and-bio.md) - [2.1.6 Renewable Energy - Hydro](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/2-1-6-renewable-energy-hydro.md) - [2.1.7 Energy - Statistical Skills](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/2-1-7-energy-statistical-skills.md) - 2.2 Rural Environments - [2.2.1 Rainforests](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/2-2-1-rainforests.md) - [2.2.2 Temperate Forests](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/2-2-2-temperate-forests.md) - [2.2.3 Characteristics of a Temperate Forest](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/2-2-3-characteristics-of-a-temperate-forest.md) - [2.2.4 Goods & Services in Temperate Forests](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/2-2-4-goods-and-services-in-temperate-forests.md) - [2.2.5 Deserts](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/2-2-5-deserts.md) - [2.2.6 Tundra](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/2-2-6-tundra.md) - 2.3 Urban Environments - [2.3.1 Urbanisation in Different Countries](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/2-3-1-urbanisation-in-different-countries.md) - [2.3.2 Causes of Urbanisation](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/2-3-2-causes-of-urbanisation.md) - [2.3.3 Consequences of Urbanisation](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/2-3-3-consequences-of-urbanisation.md) - [2.3.4 Sustainable Urbanisation](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/2-3-4-sustainable-urbanisation.md) - [2.3.5 Case Study: Rapid Urbanisation in Mexico City](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/2-3-5-case-study-rapid-urbanisation-in-mexico-city.md) - [2.3.6 End of Topic Test - Urbanisation](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/2-3-6-end-of-topic-test-urbanisation.md) ### 3 Global Issues - 3.1 Fragile Environments & Climate Change - [3.1.1 Natural Causes of Climate Change](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/3-1-1-natural-causes-of-climate-change.md) - [3.1.2 Effects of Climate Change on the Environment](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/3-1-2-effects-of-climate-change-on-the-environment.md) - [3.1.3 Effects of Climate Change on People](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/3-1-3-effects-of-climate-change-on-people.md) - [3.1.4 Impacts of Deforestation](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/3-1-4-impacts-of-deforestation.md) - [3.1.5 End of Topic Test - Climate Change](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/3-1-5-end-of-topic-test-climate-change.md) - [3.1.6 Increasing Water Supply](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/3-1-6-increasing-water-supply.md) - [3.1.7 Sustainable Rainforest Management](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/3-1-7-sustainable-rainforest-management.md) - 3.2 Globalisation & Migration - [3.2.1 Globalisation - Transport](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/3-2-1-globalisation-transport.md) - [3.2.2 Globalisation - Communication Networks & Banking](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/3-2-2-globalisation-communication-networks-and-banking.md) - [3.2.3 Push & Pull Factors](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/3-2-3-push-and-pull-factors.md) - [3.2.4 TNCs & Globalisation](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/3-2-4-tncs-and-globalisation.md) - [3.2.5 Tourism Landscapes](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/3-2-5-tourism-landscapes.md) - [3.2.6 The Growth of Tourism](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/3-2-6-the-growth-of-tourism.md) - [3.2.7 The Economic Benefits of Tourism](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/3-2-7-the-economic-benefits-of-tourism.md) - [3.2.8 The Social & Cultural Benefits of Tourism](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/3-2-8-the-social-and-cultural-benefits-of-tourism.md) - [3.2.9 The Economic Costs of Tourism](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/3-2-9-the-economic-costs-of-tourism.md) - [3.2.10 The Social & Cultural Costs of Tourism](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/3-2-10-the-social-and-cultural-costs-of-tourism.md) - [3.2.11 Managing Tourism - Sustainability](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/3-2-11-managing-tourism-sustainability.md) - [3.2.12 Managing Tourism - Quotas & Tourism Hubs](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/3-2-12-managing-tourism-quotas-and-tourism-hubs.md) - 3.3 Development & Human Welfare - [3.3.1 Ways of Defining Development](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/3-3-1-ways-of-defining-development.md) - [3.3.2 Different Ways of Measuring Development](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/3-3-2-different-ways-of-measuring-development.md) - [3.3.3 Environmental Factors Causing Uneven Development](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/3-3-3-environmental-factors-causing-uneven-development.md) - [3.3.4 Historical Factors Causing Uneven Development](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/3-3-4-historical-factors-causing-uneven-development.md) - [3.3.5 Economic Factors Causing Uneven Development](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/3-3-5-economic-factors-causing-uneven-development.md) - [3.3.6 Patterns of Development](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/3-3-6-patterns-of-development.md) - [3.3.7 How Can we Reduce the Global Development Gap?](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/3-3-7-how-can-we-reduce-the-global-development-gap.md) - [3.3.8 Top-Down & Bottom-Up Development](https://senecalearning.com/en-gb/revision-notes/igcse/geography/edexcel-igcse/3-3-8-top-down-and-bottom-up-development.md)