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Economic leakages in tourism: A comprehensive review of theoretical and empirical perspectives

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  • AV Krishna Chaitanya
  • Sampada Kumar Swain

Abstract

Economic leakages in tourism are an under-researched area that requires special emphasis from the tourism academia. Leakages persist in a destination and obstruct the economic development of the region. Though mainstream literature highlighted more about the positive side of tourism development, relatively limited literature discussed about leakages. This study critically examines the existing body of knowledge on economic leakages in tourism destinations in order to ascertain the current status of the research and identify any knowledge gaps. This study thoroughly examined theoretical and empirical data on economic leakages in tourism destinations and identified directions for future research. This study further goes into detail on how crucial leakage mitigation is to establishing resilience and self-sufficiency while rebuilding tourism destinations after the pandemic. Finally, theoretical and practical implications are provided.

Suggested Citation

  • AV Krishna Chaitanya & Sampada Kumar Swain, 2024. "Economic leakages in tourism: A comprehensive review of theoretical and empirical perspectives," Tourism Economics, , vol. 30(5), pages 1306-1323, August.
    • Handle: RePEc:sae:toueco:v:30:y:2024:i:5:p:1306-1323
    DOI: 10.1177/13548166231204648
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    References listed on IDEAS

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    2. Hugo Reis & Antonio Rua, 2009. "An Input-Output Analysis: Linkages versus Leakages," International Economic Journal, Taylor & Francis Journals, vol. 23(4), pages 527-544.
    3. Andrew Rylance & Anna Spenceley, 2017. "Reducing economic leakages from tourism: A value chain assessment of the tourism industry in Kasane, Botswana," Development Southern Africa, Taylor & Francis Journals, vol. 34(3), pages 295-313, May.
    4. Camelia SURUGIU, 2009. "The Economic Impact of Tourism. An Input-Output Analysis," Romanian Journal of Economics, Institute of National Economy, vol. 29(2(38)), pages 142-161, December.
    5. Chris G. Sandbrook, 2010. "Putting leakage in its place: The significance of retained tourism revenue in the local context in Rural Uganda," Journal of International Development, John Wiley & Sons, Ltd., vol. 22(1), pages 124-136.
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