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The Importance of Adjusting for Trip Purpose in Regional Economic Analyses of Tourist Destinations

Author

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  • John Loomis

    (Department of Agricultural and Resource Economics, College of Agricultural Sciences, Colorado State University, Fort Collins, CO 80523, USA)

  • Lynne Caughlan

    (US Geological Survey, Biological Resources Division, Fort Collins, CO 80526, USA)

Abstract

This paper investigates the empirical importance of distinguishing visitors and their expenditures by trip purpose when estimating the tourism effects of a national park on a local economy. Accounting for trip purpose is quite important when there are two or more nearby major attractions in the same geographical area. This applies to the author's case study of Grand Teton and Yellowstone National Parks in the State of Wyoming, and also to other areas, such as the State of Utah's Bryce and Zion National Parks or amusement parks in the Orlando area in Florida. The authors illustrate the various types of survey questions and methods for correcting for trip purpose. In the case study, it would be quite misleading to attribute all spending by visitors to Grand Teton National Park (GTNP) in the town of Jackson, Wyoming, solely to GTNP because this would overstate employment actually attributable to the park by 3,455 jobs, or 22%. In turn, this overestimates the dependence of jobs in the Jackson economy on GTNP by 15%, incorrectly estimating it at 75% rather than the sounder figure of 60% of total jobs.

Suggested Citation

  • John Loomis & Lynne Caughlan, 2006. "The Importance of Adjusting for Trip Purpose in Regional Economic Analyses of Tourist Destinations," Tourism Economics, , vol. 12(1), pages 33-43, March.
    • Handle: RePEc:sae:toueco:v:12:y:2006:i:1:p:33-43
    DOI: 10.5367/000000006776387105
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    References listed on IDEAS

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    1. Abraham E. Haspel & F. Reed Johnson, 1982. "Multiple Destination Trip Bias in Recreation Benefit Estimation," Land Economics, University of Wisconsin Press, vol. 58(3), pages 364-372.
    2. R. Keith Schwer & Dan S. Rickman, 1995. "A comparison of the multipliers of IMPLAN, REMI, and RIMS II: Benchmarking ready-made models for comparison," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 29(4), pages 363-374.
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    Cited by:

    1. Mayer Marius & Vogt Luisa, 2016. "Economic effects of tourism and its influencing factors: An overview focusing on the spending determinants of visitors," Zeitschrift für Tourismuswissenschaft, De Gruyter, vol. 8(2), pages 169-198, November.
    2. Eric Beckman & Mark Traynor, 2019. "Utilizing trade market analysis to identify the economic impact of a multiday special event in Miami Beach, Florida," Tourism Economics, , vol. 25(2), pages 253-273, March.
    3. Nathan P. Kemper & Jennie S. Popp & Wayne P. Miller, 2008. "Regional Growth and Beaver Lake: A Study of Recreation Visitors," Tourism Economics, , vol. 14(2), pages 409-426, June.
    4. Sheng-Ping Yang & Annette Ryerson, 2011. "Correcting for Selectivity Bias in the Estimation of Tourist Spending Surveys," Tourism Economics, , vol. 17(6), pages 1165-1179, December.
    5. J.M. Bowker & John C. Bergstrom & Joshua Gill, 2007. "Estimating the Economic Value and Impacts of Recreational Trails: A Case Study of the Virginia Creeper Rail Trail," Tourism Economics, , vol. 13(2), pages 241-260, June.
    6. Bradley M. Braun & Mark D. Soskin, 2010. "Disney's Return to Theme Park Dominance in Florida," Tourism Economics, , vol. 16(1), pages 235-250, March.

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