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Calculating Tourism's Economic Value

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Gross Domestic Product (GDP) from Tourism

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The total value of goods and services produced by the tourism-related activities within a country's economy over a specific time period. Tourism Calculation Method: Summing the value added at each stage of production for tourism-related goods and services.

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Tourism Satellite Account (TSA)

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An extension of the National Accounts for a country, measuring the size and economic effects of tourism. TSA Calculation Method: Compiling data on expenditure by tourists, specific tourism industries, and employment in tourism sectors.

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Tourism Direct Gross Value Added (TDGVA)

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Measures the value added by all direct tourism activities. Calculation Method: Subtracting the cost of goods and services from the output of the tourism sector.

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Employment in the Tourism Sector

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The number of jobs created directly in the tourism industry. Calculation Method: Counting all full-time, part-time, and seasonal positions in tourism-specific sectors.

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Tourism Expenditure

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The total spending by tourists, including both international and domestic travelers. Calculation Method: Summing all tourist spending on goods and services during their trips.

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Tourism Balance of Payments (BoP)

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A measure of the international economic transactions between residents and non-residents related to tourism. Calculation Method: Tracking the flows of tourism spending between countries, classified under the 'travel' category in BoP accounts.

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Capital Investment in Tourism

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Funds spent on constructing tourism-related infrastructure and facilities. Calculation Method: Summing all public and private expenditures on fixed assets intended to support tourism activities.

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Tourist Consumption

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The total spending by tourists for products and services both inside and outside of tourism establishments. Calculation Method: Collecting data from surveys on tourists' consumption patterns and expenditure.

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Tourism Multiplier Effect

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The ratio of the total change in GDP to the initial change in tourism spending. Calculation Method: Using input-output models to track how an injection of tourism-related spending circulates through the economy.

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Average Daily Rate (ADR) of Hotels

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The average revenue earned per occupied hotel room per day. Calculation Method: Dividing the total room revenue by the number of rooms sold.

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