Instead of small-scale of tourism, we need to develop more large resorts. Critically evaluate this assertion, focusing upon the role of tourism in economic development in your answer.

Essay by liuf55 November 2005

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It can be seen that after World War II, with the impact of advanced technology, shorter working hours, greater individual prosperity and many other elements like these, millions of people are enjoying an increasing amount of leisure time in both the developed and developing countries of the world, which has led to a booming of tourism industry to a worldwide extent. Nowadays, tourism, as a sector of relatively recent development in many economies, is still showing a generic growth in most countries. From backpackers' "meet the locals" experiences through business trading and convention centres to segregated exclusive up-market resorts, the tourism industry is affecting our modern lives in many aspects, thus it is considered to have an integral potential force in the economic development of the world.

This essay focuses on the tourism development from an economics point of view, by analysing the role of government in tourism management, the economic advantage of large tourism resource development and the multiple effects of tourism, to evaluate the significance of developing tourism with large resorts.


One of the most vital differences between large and small-scale tourism is the extent of government participation in tourism management and planning. The economic role of government can be stated as follows:


Government can stimulate the construction of needed tourism infrastructure, access roads, communications, airport facilities, and many other demanding fixed capital investment. These investments attract not only a large number of tourists, but also huge mounts of foreign investment to the development of local tourism industry, which means considerable contributions to GDP, thus large-scale of government investment can brings about much more profits.


Government always intervenes tourism industry by financial means. Financial incentives are often given to tourism developers...