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Estimating Tourism's Share Of Local Income From Secondary Data Sources

Author

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  • John C. Leatherman

    (Kansas State University)

  • David W. Marcouiller

    (University of Wisconsin-Madison)

Abstract

Typically, primary survey data is necessary to gauge the scale of local tourism. This paper proposes an alternative method for generating county-level estimates of employee compensation attributable to tourism based on secondary data sources. The procedure used principal components and cluster analyses to establish regions matched by tourism structure. Minimum requirements was then used to estimate the share of employee compensation attributable to non-local demand. The procedure was applied to Wisconsin counties to estimate tourism shares attributable to travelers and recreational home owners. The principal components analysis showed that Wisconsin tourism is driven by variable combinations of three components: urban tourism, outdoor-based activities, and natural parks/specialty tourism. Minimum requirements generated county-level estimates of non-local demand for disaggregated tourism-sensitive business sectors. Tourism shares ranged from approximately 3 percent of total employee compensation within the urban clusters to about 10 percent in the nature and parks clusters.

Suggested Citation

  • John C. Leatherman & David W. Marcouiller, 1996. "Estimating Tourism's Share Of Local Income From Secondary Data Sources," The Review of Regional Studies, Southern Regional Science Association, vol. 26(3), pages 317-339, Winter.
    • Handle: RePEc:rre:publsh:v:27:y:1996:i:3:p:317-339
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    References listed on IDEAS

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    1. Andrew M. Isserman, 1980. "Estimating Export Activity in a Regional Economy: A Theoretical and Empirical Analysis of Alternative Methods," International Regional Science Review, , vol. 5(2), pages 155-184, August.
    2. John C. Bergstrom & H. Ken Cordell & Gregory A. Ashley & Alan E. Watson, 1990. "Economic Impacts of Recreational Spending on Rural Areas: A Case Study," Economic Development Quarterly, , vol. 4(1), pages 29-39, February.
    3. Edward L. Ullman & Michael F. Dacey, 1960. "The Minimum Requirements Approach To The Urban Economic Base," Papers in Regional Science, Wiley Blackwell, vol. 6(1), pages 175-194, January.
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    1. Bowe, Scott A. & Marcouiller, David W., 2007. "Alternative tourism-timber dependencies and the development of forested rural regions," Forest Policy and Economics, Elsevier, vol. 9(6), pages 653-670, February.
    2. Michele Coscia & Ricardo Hausmann & Frank Neffke, 2016. "Exploring the Uncharted Export: An Analysis of Tourism-Related Foreign Expenditure with International Spend Data," Growth Lab Working Papers 88, Harvard's Growth Lab.
    3. Green, Gary Paul, 2001. "Amenities and Community Economic Development: Strategies for Sustainability," Journal of Regional Analysis and Policy, Mid-Continent Regional Science Association, vol. 31(2), pages 1-15.
    4. Kriesel, Warren & English, Donald B.K., 1999. "The Tradeoffs In Ecosystem Management: The Case Of Logging And Recreation In The Southern Appalachians," 1999 Annual meeting, August 8-11, Nashville, TN 21530, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    5. Gunderson, Ronald J. & Ng, Pin T., 2005. "Analyzing the Effects of Amenities, Quality of Life Attributes and Tourism on Regional Economic Performance using Regression Quantiles," Journal of Regional Analysis and Policy, Mid-Continent Regional Science Association, vol. 35(1), pages 1-22.
    6. Natalia Porto & Natalia Espinola, 2019. "Labor income inequalities and tourism development in Argentina: A regional approach," Tourism Economics, , vol. 25(8), pages 1265-1285, December.
    7. Gabe, Todd & McConnon, James C., 2018. "Popping the Question: The In uence of Survey Design on Estimated Visitor Spending in a Region," Journal of Regional Analysis and Policy, Mid-Continent Regional Science Association, vol. 48(4), August.

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