Tourism is the world's largest industry. Stated by the United Nations World Tourism Organization, it exceeds oil exports, food products and even the automobile industry. Tourism boosts the economic growth of a region's economy while supporting job creation and promotes cross-cultural understanding. There are positive and negative effects of tourism industry and can be classified into the social & cultural impact, economic impact and environmental impacts. Social & cultural impact signifies the impact which it creates in terms of social changes in the lives of local people, improvements in infrastructure, lifestyle changes, etc. Economic impact can be quantified in terms of monetary benefits and overall economic development of the society. Environmental impact refers to the impact on the nature and surrounding areas.
Tourism can benefit economies at regional and local levels, as money goes into urban and rural areas which in turn creates new businesses, greater markets and allows a more positive image of the area. The income generated helps the national balance of payments, earning revenue through direct taxation, as well as from indirect taxes on goods and services purchased by the tourists. Political effects Tourism industry has contributed to the economic growth of a country through factors like industrialization, education, advance technology, higher number of qualified professionals, opening up of foreign markets, liberal trade policies and better advertising and strategic marketing. Job creation is paramount to any discussion about tourism's positive economic effects. Tourism has long been cited by world leaders as a driver of peace and security through understanding. In the 21st century, tourism is closely linked to development, embracing a growing number of new destinations – hence new jobs. Tourism can create civic pride by encouraging cultivation and sharing of local customs, food, traditions and festivals. Personal exchanges between hosts and guests goes a long way toward fostering better cultural understanding. Tour operators are focusing on the experiential travel trend, providing more authentic and immersive experiences for their guests. Open spaces and national parks in countries around the world are good for replenishing both body and soul.
Unexpected and unforeseeable events such as terrorism, political upheaval, impactful weather conditions and natural disasters can wreak havoc on a region, negatively affecting inbound tourism for considerable periods of time. The more dependent a destination is on tourism, the more the impact will be felt and the longer recovery will take. Too many tourists can have a negative impact on the quality of life. Known as overtourism, this phenomenon is creating a burden in such destinations as rural Patagonia, Chile, and urban Barcelona, Spain. The slopes of Mount Everest are littered and, in Iceland, tourists far outnumber the resident population. In the U.S. where the top 10 parks saw more than 44 million visitors in 2016, the National Park Service is looking for ways to protect natural treasures in light of year-on-year increases in visitor numbers. Due to the heavy traffic in the region, the infrastructure may not be able to cope up the increased rush thus leading to overcrowding, poor sanitation which may further lead to diseases bot to the tourists as well as local people. The intrusion of outsiders in the area may disturb the local culture and create unrest among the people. The local people may copy the lifestyles of tourists through the demonstration effect and the result could be loss of native customs and traditions. Some people may enter into criminal activities to fetch easy money from tourists which leads to increased crime and anti-social activities and loss of moral and religious values. Any kind of development requires some interference with the nature. Overdevelopment comes at the cost of nature. There may be damage to the natural flora and fauna. Local people are displaced for want of coastal area development. With more people in the area, more natural resources are required which leads to depletion of natural resources. Waste disposal problems crop up and without proper measures to handle this problem it may worsen the situation. Due to more footfall, more transport, more noise, improper waste disposal, pollution increases in the area and disturbs the ecological balance of the region.-
To boost tourism and maximize positives and minimize the negatives huge money is invested to preserve the local heritage, to improve infrastructure, to provide better local facilities which in turn creates better education, better leisure facilities, organizing frequent social events and thus a better lifestyle for the locale people. They interact with the tourists, mix with people from diverse backgrounds which creates a cosmopolitan culture in the region. Due to the demand for better services, varied employment opportunities are created within the region and therefore people do not feel the need to migrate to other cities to earn their living. The above factors collectively boost the economic reserves of the region thus leading to rise in income and better disposable income. In order to attract more tourism special emphasis is given on overall beautification of the surroundings, regular planting of trees and landscaping are done to enhance aesthetics. Huge investment is done to improve the facilities in the area like sitting areas, shades, proper sanitation, drinking water etc. More emphasis is given to preserve the monuments, heritage structures to attract more tourists. Education about the reasons for sustainable tourism places a spotlight on responsible planning. As more consumers become aware of the lasting benefits of "take only pictures, leave only footprints," we can better respect nature and minimize the impact on any habitat we visit.
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