Tourism s to Tourism s. Economy

Size: px
Start display at page:

Download "Tourism s. 1997 98 to 2011 12. Tourism s. Economy"

Transcription

1 Tourism s Contribution to the Australian Economy to Tourism s Contribution to the Australian Economy

2 Authors: Jai Kookana and Tien Duc Pham ISBN (PDF) (Word) Tourism Research Australia Department of Resources, Energy and Tourism GPO Box 1564 Canberra ACT 2601 ABN Web: Publication date: July 2013 This work is licensed under a Creative Commons Attribution 3.0 Australia licence. To the extent that copyright subsists in third party quotes and diagrams it remains with the original owner and permission may be required to reuse the material. This work should be attributed as Tourism s Contribution to the Australian Economy, to , Tourism Research Australia, Canberra. Enquiries regarding the licence and any use of work by Tourism Research Australia are welcome at ii

3 iii

4 Contents Executive summary... v Introduction... 1 What has changed from the previous report?... 1 What is the direct economic contribution of tourism?... 1 What is the indirect economic contribution of tourism?... 1 What is the total economic contribution of tourism?... 2 Tourism s contribution to GDP and GVA... 4 Direct contributions... 4 Indirect contributions... 4 Total contributions... 5 Tourism s contribution to GVA by industry... 6 Indirect GVA in All other industries... 8 Growth in total tourism GVA, by industry... 9 Industry share of total tourism GVA Tourism s contribution to employment Tourism employment by industry Indirect employment in All other industries Tourism multipliers Tourism multipliers over time Conclusion References Appendix A: Methodology for calculating indirect contribution Appendix B: Input-output multipliers and tourism multipliers iv

5 Tables Table 1: Relationship between GVA and GDP... 4 Table 2: Tourism GVA by industry, Table 3: Industry share in total tourism GVA Table 4: Summary, tourism s direct and indirect contribution to the Australian economy Table 5: Direct and indirect employment by tourism industries, Table 6: Total (direct and indirect) employment in tourism Table 7: Tourism industry multipliers ( ) based on input-output tables Figures Figure ES1: Key economic indicators, vi Figure ES2: Output multiplier: Tourism versus other important industries... vii Figure 1: Direct and indirect share of tourism GVA and GDP... 5 Figure 2: Annual growth in total tourism GDP and Australian GDP... 6 Figure 3: Tourism indirect GVA in All other industries, Figure 4: Average annual growth in GVA, tourism and all industries, to Figure 5: Direct and indirect share of tourism employment Figure 6: Direct and indirect employment growth in the tourism industry, to Figure 7: Tourism employment in All other industries, Figure 8: Relationship between tourism product share and tourism output multiplier Figure 9: Flow-on effect of tourism consumption Figure 10: Presentation of results v

6 Executive summary This report presents a complete picture of the Australian tourism industry s contribution to the economy. TRA s estimates of tourism s indirect and total economic contribution presented in this report complement the latest estimates of tourism s direct contribution from the Australian Bureau of Statistics (ABS) Tourism Satellite Account (TSA) (ABS Cat. No ). Results are presented for the period to This report reflects revisions in the time series estimates published by the ABS and revisions in the domestic and international consumption time series published by TRA (see TRA 2013 for more information). Consequently, the estimates published in this report are not comparable to the previously published estimates. While Australia s tourism industry suffered a severe downturn during the global financial crisis (GFC) of , the industry showed its resilience by recovering quickly during the post-gfc period ( to ), when tourism Gross Domestic Product (GDP) increased by 3.9 per cent annually over this period (Figure ES1). In the long term, total tourism GDP rose at an average annual rate of 4.6 per cent between and Tourism s contribution to Australian GDP was $87.3 billion, or 5.9 per cent share of the Australian economy. v

7 Figure ES1: Key economic indicators, Tourism s contribution to Australia s GDP $87.3 billion Growth in total tourism GDP and national GDP between and : or 5.9% of total GDP Total tourism GDP* 4.6% Direct GDP (a) - $41.0 billion Indirect GDP (b) - $46.2 billion National GDP* 6.8% *average annual growth Tourism s contribution to Australia s GVA $77.1 billion or 5.6% of total GVA Direct GVA - $37.6 billion Indirect GVA - $39.5 billion Tourism s contribution to Australia s employment 908,434 persons or 7.9% of total Australian employment Direct - 531,900 persons Indirect 376,534 persons As a labour intensive industry, tourism s direct employment share of 4.6% was higher than other important industries, such as: Mining 2.2% Electricity, gas, water and waste water services 1.3% Wholesale trade 3.6% Financial and insurance services 3.7% Tourism consumption expenditure 1 $91 billion Sources: (a) ABS Cat. No (b) TRA calculations 1 Tourism consumption consists of tourism expenditure (the amount paid by a visitor or on behalf of a visitor for and during his/her trip and stay at the destination) plus imputed consumption by resident and non-resident visitors on tourism-related products, including those sold at prices that are non-economically significant. vi

8 Output multiplier Tourism s results from another important economic measure, output multipliers, further highlight the positive outlook for the industry. Tourism s total output multiplier was valued at (Figure ES2). This means that for every dollar that tourism earns directly in the Australian economy, it generates an additional 90 cents to other parts of the economy. At 1.9, tourism s total multiplier is larger than other important industries such as Mining (1.6), Retail trade (1.7) and Education and training (1.4). Figure ES2: Output multiplier (a) : Tourism versus other important industries Tourism Retail trade Mining Healthcare and social assistance Finance and insurance services Education and training Sources: (a) TRA calculations using ABS input-output tables (ABS Cat. No ) 2 Tourism multiplier value measures the increase in the production of intermediate inputs in the economy (indirect contribution) resulting from a unit increase in consumption of tourism goods and services by the visitors. A high value of this multiplier indicates that a higher indirect value is created in the economy. vii

9 Introduction This report is the fifth in the series that measures the broader indirect and total value of tourism s contribution to the Australian economy. It provides estimates for the total flow-on of output contribution from tourism consumption between and These estimates complement the Australian Bureau of Statistics (ABS) direct contribution estimates from the edition of the Tourism Satellite Accounts (TSA), released in April Together, the estimates present a picture of the full value of tourism to the Australian economy. What has changed from the previous report? This report reflects revisions in the time series estimates resulting from a new benchmark in respect of the Supply-Use (S-U) tables by the ABS. Revisions to the domestic and international consumption time series following recent adjustments to Tourism Research Australia s (TRA) National and International Visitor Surveys have also been incorporated. In addition, TRA s estimates of the indirect/flow-on contribution uses the latest available ( ) input-output (I-O) tables from the ABS. Consequently, the revised estimates in this publication are not comparable to those published previously. What is the direct economic contribution of tourism? The direct economic contribution of tourism to the Australian economy, as represented by the ABS TSA 3, occurs where a direct physical or economic relationship exists between the visitor and producer of the good or service. This is the opposite to the indirect relationship via the retail sector between tourists and suppliers of goods and services. The direct contribution of Australia s tourism industry primarily refers to the immediate effect of expenditure made by visitors. For example, an increase in the number of visitors staying overnight in hotels directly affects sales in the hotel sector. The direct effects are the sales and associated changes in payments for: wages and salaries net taxes supplies and services. What is the indirect economic contribution of tourism? The introduction of direct and indirect definitions in Australia s TSA framework has overlapped with similar terminology (not the concept) that has been historically used in input-output modelling. The I-O modelling concept on the other hand captures the flow-on effect generated by the tourism consumption demand (visitor spending plus imputations presented in the national TSA) on other industries in the supply chain. In this report the TSA direct concept will remain the same for the flow-on effects for easy comparison. Using the direct tourism contribution alone will under-estimate the total contribution of tourism to the economy. In order to account for tourism s contribution correctly, the 3 The Tourism Satellite Account (TSA) estimates the value of tourism within the national accounting framework. A satellite account allows an expansion of the national account for selected areas of interest while maintaining the concept and structures of the core National Accounts methodology. 1

10 consumptions of TSA direct and TSA indirect tourism output are combined to calculate the flow-on effects using the I-O multipliers. The flow-on or indirect effects are the changes in supply that result from spending of the tourism industry s receipts on goods and services from other industries. For example: A visitor purchases a meal from a hotel: the hotel purchases vegetables and meat from a food supplier the food supplier purchases these from a farming company the farming company purchases labour and transport to deliver the produce to market. TRA estimates the economic impact of these indirect effects in order to complement the direct effects that are reported in the national TSA, and to provide a more complete picture of the economic contribution of tourism. (Refer to Appendices A and B for detail on the I-O methodology used in deriving the indirect contribution of tourism on output and employment.) What is the total economic contribution of tourism? The total contribution of tourism to Australia s economy is simply the combination of direct contributions (as published in the ABS TSA) and indirect contributions (TRA estimates). In this report, the total contribution is presented over a fifteen year period; to TRA s estimates of indirect Gross Value Added (GVA), Gross Domestic Product (GDP) and employment have added significant value to the ABS TSA. By providing a more complete picture of the role tourism plays in the economy, policy makers have the means to effectively gauge the value of tourism, and to use this to inform their decision making. Interestingly, Australia and New Zealand are the only countries that produce a full set of indirect estimates for tourism GVA, GDP and employment. New Zealand s (NZ) TSA (2012) reported that in the year ended March 2012: Tourism s total contribution 4 was 8.6 per cent to NZ GDP; NZ$6.2 billion (or 3.3 per cent) directly and NZ$9.7 billion (or 5.2 per cent) indirectly. Tourism employed a full-time equivalent of 186,900 employees (or 9.6 per cent of total employment in New Zealand). Of the total employment, around 119,800 were employed directly and 67,100 indirectly. However, international governing bodies are recognising the importance of a TSA. The United Nations World Tourism Organization (UNWTO) (2010) reported that, A total of 60 countries have been identified by early 2010 as having already produced or are currently developing a TSA exercise. 4 Statistics New Zealand (2012), when emphasising the importance of estimating the full impact of tourism, states that, Direct value added does not measure the full impact of tourism on the New Zealand economy because it is limited to those businesses that have a direct relationship with tourists. Additional value added comes from tourism through the production of the intermediate inputs used in the production of goods and services sold to tourists, although there is no direct relationship between the producer of the intermediate inputs and the tourist. This additional value added is known as indirect value added. 2

11 Estimates in this report are provided in nominal terms unless stated otherwise, with results presented in combination with the direct contribution reported in ABS TSA ( ). The analysis provides total contribution estimates for tourism GDP, GVA (by industry) and employment. 3

12 Tourism s contribution to GDP, GVA GVA and GDP are primary measures for economic performance of an industry or the whole economy. At the industry level, GVA is part of the output measure, accounting for the sum of an industry s output less the costs of intermediate inputs used in the production (of that good or service). The remainder is the value-added from the industry. Thus, GVA is always smaller than total output and reflects more accurately the contribution of an industry to the whole economy, as this amount is not distorted by the output of other industries. GDP is built upon the GVA measure. GVA and GDP are presented in simple formulas below and illustrated in Table 1. GVA GDP Compensation of employees + gross operating surplus + other taxes on production GVA + net taxes on products (taxes less subsidies) Table 1: Relationship between GVA and GDP Direct contribution ($ billion) Output (basic prices) 90.9 GVA 37.6 Net taxes on products 3.4 GDP 41.0 Source: ABS Cat. No Direct contributions According to the latest TSA (2013): Tourism consumption (at basic prices) 5 was $90.9 billion in , representing an annual increase of 6.0 per cent. The direct GDP contribution of Australia s tourism industry in was $41.0 billion, representing an annual increase of 5.3 per cent. Tourism GVA, or net income generated by the industry, amounted to $37.6 billion, also representing an annual increase of 5.3 per cent. Indirect contributions In , Australia s tourism industry indirectly contributed a further $46.2 billion of GDP and $39.5 billion of GVA (Figure 1 and Table 2). The indirect GDP and GVA contribution by the tourism industry accounted for 3.1 per cent and 2.9 per cent of national GDP and GVA respectively. 5 This is the price received by the producers after deducting margins, net commodity taxes and imports from the price the tourists actually paid on the market to obtain goods and services. Thus, value of consumption measured at the basic prices equals the value of output produced. 4

13 Total contributions Combining tourism s direct and indirect components, a total of $87.3 billion was contributed to national GDP in , up $5.5 billion (or 6.8 per cent) year-on-year. Figure 1: Direct (a) and indirect (b) share of tourism GVA and GDP Per cent GVA Direct Indirect GDP Sources: (a) ABS Cat. No , (b) TRA s estimates Collectively, tourism s direct and indirect contributions amounted to around 5.6 per cent of total GVA. Tourism s direct measure contributed around 2.7 per cent, while another 2.9 per cent is estimated to be tourism s indirect contribution. When compared to when tourism s total contribution to Australia s GDP peaked at 8.3 per cent this represents a decline of 2.7 percentage points. However, the Sydney Olympic Games and the introduction of the Goods and Services Tax (GST) were influencing factors during this period. Total tourism GDP has more year-to-year fluctuations than Australian GDP. In , total tourism GDP increased by around 6.8 per cent on the previous year and reflected a solid recovery after the severe downturn associated with the global financial crisis in Over the longer period between and , total tourism GDP has risen at an average annual rate of 4.6 per cent, while Australian GDP has increased at a stronger rate, averaging 6.8 per cent annually over the same period (refer Figure 2). 5

14 Annual change (per cent) Figure 2: Annual growth in total tourism GDP and Australian GDP Sydney Olympics Total Tourism GDP Australian GDP SARS GFC Source: TRA s estimates using total GDP from ABS Cat. No , direct contribution estimates from ABS Cat. No , , and indirect estimates by TRA Tourism s contribution to GVA by industry Tourism comprises many supplying industries. Each industry s contribution to tourism varies depending upon how closely they are related to tourism. Some of the industries interact heavily with visitors, such as Cafés, hotels and restaurants. Other industries work in the supply line to the tourism industry such as Manufacturing, Agriculture, Forestry and fishing and the Wholesale trade industries, which interact with tourism more indirectly. Tourism s indirect contribution to GVA is larger than its direct contribution. In , of the total GVA ($77.1 billion) contribution of the tourism industry, 49 per cent was contributed directly and 51 per cent indirectly. Tourism has a GVA multiple of , based on the ratio of tourism indirect value added and direct value added. A multiple value greater than one indicates the industry s indirect contribution to tourism is larger than its direct contribution. In , tourism generated $39.5 billion worth of GVA indirectly to the Australian economy, in addition to its direct contribution of $37.6 billion. The Ownership of dwellings, Accommodation and food services, Retail trade, Arts and recreation, Education and training and Air, water and other transport services industries had direct contact with visitors, therefore had a larger direct contribution. These industries also generated some indirect value added. For example, most of the services provided by a restaurant are by direct contact, but the services of a baker or wholesaler providing the raw material such as bread, flour, rice, meat etc is considered indirect. 6 GVA multiple is the ratio of indirect GVA to direct GVA and is not a multiplier. Indirect GVA for tourism is calculated using the ratio of Industry GVA to Gross Output from input-output tables and multiplying this ratio to the indirect output relating to tourism in an industry. 6

15 The following four industries 7 collectively contributed more than three quarters of total direct GVA in (Table 3): Accommodation and food services $12.9 billion, or 34 per cent of total GVA Air, water and other transport services $6.1 billion, or 16.2 per cent of total GVA Retail trade $5.2 billion, or 13.7 per cent of total GVA Education and training $2.4 billion, or 6.4 per cent of total GVA. A large part of the total flow-on effect of visitor consumption was felt in other industries represented by All other industries, where more than 90 per cent of total GVA contribution was indirect. 7 Excluding ownership of dwellings industry 7

16 Table 2: Tourism GVA by industry, Industry Direct value added (a) Indirect value added (b) Indirect value added multiple (M) Total value added= direct value added* (1+M) $ million Ratio $ million Accommodation and food services 12, ,426 Rail transport Road transport and motor vehicle hire and lease Air, water and other transport Travel agency and tour operator services 1,759 3, ,864 6,079 2, ,534 1,815 2, ,597 Arts and recreation services 1, ,749 Retail trade 5,161 1, ,427 Education and training 2, ,682 Ownership of dwellings 3, ,218 All other industries 2,181 28, ,938 Total tourism industry 37,621 39, ,107 Sources: (a) ABS Cat. No , and (b) TRA s estimates Indirect GVA in All other industries All other industries are a grouping of industries that by nature or activity are not considered tourism-related, but are nonetheless affected by rises and falls in tourism. For example, increasing visitor numbers to cafés and restaurants increases demand for flour from grain processing industries; this in turn increases grain production by the agricultural industry. Disaggregation of the $28.8 billion of indirect tourism GVA in All other industries in is presented in Figure 3. More than half (52 per cent) of total tourism GVA in this category occurred in three industries: Manufacturing - $5.8 billion Professional, scientific and technical services - $4.7 billion Finance and insurance services - $4.5 billion. Additionally, one-third of total tourism GVA was contributed by: Agriculture, forestry and fishing - $2.6 billion Information and telecommunication services - $2.5 billion Wholesale trade - $2.3 billion Mining - $2.0 billion. 8

17 Figure 3: Tourism indirect GVA in All other industries, Indirect GVA ($ million) 0 1,000 2,000 3,000 4,000 5,000 6,000 7,000 Manufacturing Professional, scientific and technical services Finance and insurance Agriculture, forestry and fishing Information and telecommunication services Wholesale trade Mining Construction Electricity, gas, water and waste water Other services Public administration and safety Health care and social assistance Source: TRA s estimates Growth in total tourism GVA, by industry Total tourism industry GVA grew at an average annual rate of 4.2 per cent between and , compared to 6.9 per cent average annual growth in the whole economy (Figure 4). In Australia, two industries (Mining and Professional, scientific and technical services) grew at double digit rates (12.9 and 10.0 per cent, respectively) between and Together, these industries constituted 17.4 per cent of total GVA in Australia. Among tourism industries, only the Education and training industry achieved an average annual GVA growth of 8.8 per cent. However, this industry represented only a minor share (3.5 per cent) of total tourism GVA in A little more than one-third (36 per cent) of tourism s total GVA was shared among two main industries in : Accommodation and food services per cent Transport, postal and warehousing per cent. These industries achieved average annual tourism GVA growth of 5.6 per cent and 4.6 per cent, respectively. These rates were much lower than the growth rates achieved by these industries at total GVA levels. Growth in total GVA for Accommodation and food services and Transport, postal and warehousing was 6.3 per cent each, indicating that the non-tourism component showed much stronger growth than the tourism component of each industry. 9

18 Average annual growth rate (per cent) Figure 4: Average annual growth in GVA, tourism and all industries, to Industry Gross Value Added (tourism and non tourism) Industry Gross Value Added (total tourism) Agriculture, forestry and fishing Mining Manufacturing Electricity, gas, water and waste services Construction Wholesale trade Retail trade Accommodation and food services Transport, postal and warehousing Information media and telecommunications Financial and insurance services Rental, hiring and real estate services Professional, scientific and technical services Administrative and support services Public administration and safety Education and training Health care and social assistance Arts and recreation services Other services Ownership of dwellings Total Gross Value Added Sources: Derived by TRA using total GVA and direct contribution estimates from ABS Cat. No , , and indirect estimates by TRA Industry share of total tourism GVA Over the period to , industry share in total tourism GVA varied. This depended on changes in visitor types and numbers, and the price and quantity of tourism products and services demanded (Table 4). For example: The share of the Accommodation and food services industry has increased 2.9 percentage points (from 14.5 per cent in to 17.4 per cent in ); largely due to an increase in visitor numbers. o Between and , inbound visitor nights increased 5.1 per cent annually (Tourism Forecasting Committee 2013, Issue 1). The Education and training industry increased its share of tourism GVA from 1.9 per cent in to 3.5 per cent in , due to an increase in short-term student visitors to Australia in recent years. o Short-term visitor arrivals for education 8 to Australia rose at an average annual rate of 7.2 per cent between and The share of total tourism GVA in all other industries remained more or less unchanged during this period. 8 Compiled from Overseas Arrivals and Departures publication (ABS Cat. No ) March 2013 database 10

19 Table 3: Industry share in total tourism GVA (%) Tourism industries 1997/ / / / / / 03 Agriculture, forestry and fishing Mining Manufacturing Electricity, gas, water and waste services 2003/ / Construction Wholesale trade Retail trade Accommodation and food services Transport, postal and warehousing Information media and telecommunications Financial and insurance services Rental, hiring and real estate services (c) Professional, scientific and technical services Administrative and support services Public administration and safety Education and training Health care and social assistance Arts and recreation services Other services / / / / / / / 12 11

20 Total tourism GVA (direct (a) and indirect (b) ) Sources: (a) ABS Cat. No , and (b) TRA s estimates, (c) Renting, hiring and real estate services also includes Ownership of dwellings 12

21 Per cent Tourism s contribution to employment TRA estimates that tourism directly and indirectly employed an estimated 908,434 persons in (or 7.9 per cent of total employment in Australia), comprising: 531,900 persons (or 4.6 per cent of the Australian workforce) employed directly; one percentage point lower when compared to ,534 persons (or 3.3 per cent) employed indirectly. Fifty nine per cent of total tourism employment was provided directly and the rest (41 per cent) indirectly (Figure 3 and Table 2). Tourism s share of total employment (7.9 per cent) was higher than tourism s share of industry GVA (5.6 per cent), because tourism is more labour intensive than many other industries 9. In , total tourism employment rose around 25,120 (2.8 per cent), with increased employment of 1,600 (0.3 per cent) in directly tourism-related industries and 23,520 (6.7 per cent) in industries related indirectly to tourism. Total tourism employment increased at an average annual rate of 2.8 per cent between and ; faster than the growth in direct tourism employment of 1.8 per cent over the same period. Figure 5: Direct and indirect share of tourism employment Direct Indirect Employment Sources: (a) ABS Cat. No , (b) TRA s estimates 9 A business is labour intensive if labour accounts for the largest proportion of all inputs to the business outputs. 13

22 Table 4: Summary, tourism s direct and indirect contribution to the Australian economy 1997/ / / / / / / / / / / / / / / 12 Direct contribution (a) Tourism GDP ($m) 18,496 20,067 20,892 24,844 25,518 26,966 27,173 28,260 29,898 32,454 35,100 35,757 37,955 38,936 41,018 Share of national (%) Tourism GVA ($m) 18,791 20,358 21,191 22,724 23,332 24,678 24,859 25,837 27,389 29,594 32,035 32,704 34,821 35,711 37,621 Share of national (%) Tourism employment ( 000) Share of national (%) Indirect contribution (b) Tourism GDP ($m) 28,098 30,253 31,604 34,170 33,887 34,988 34,738 35,146 36,840 40,092 41,520 40,894 42,819 42,787 46,232 Share of national (%) Tourism GVA ($m) 24,304 26,366 27,192 29,261 29,186 30,181 29,998 30,437 31,804 34,629 36,122 35,518 36,801 37,110 39,486 Share of national (%) Tourism employment ( 000) Share of national (%) Total contribution Tourism GDP ($m) 46,594 50,320 52,496 59,014 59,405 61,954 61,911 63,406 66,738 72,546 76,620 76,651 80,774 81,723 87,250 Share of national (%) Tourism GVA ($m) 43,095 46,724 48,383 51,985 52,518 54,859 54,857 56,274 59,193 64,223 68,157 68,222 71,622 72,821 77,107 Share of national (%) Tourism employment ( 000) Share of national (%) Sources: (a) ABS Cat. No.5249; (b) TRA calculations 14

23 Tourism employment by industry Applying a strict definition for tourism employment is problematic as employees in tourism-related industries generally provide services to both visitors and non-visitors. To overcome this, the TSA provides estimates for tourism employment by applying tourism GVA ratios from the benchmark year to ABS Labour Force Survey estimates for tourism-related industries. By applying this method, the TSA reports that the tourism industry directly employed 531,900 persons in Tourism s total contribution to the Australian labour force is estimated at 908,360 persons for (with 376,534 persons indirectly linked to the tourism value chain, Table 5). While All other industries comprised a majority of indirect total tourism-related employment (91 per cent, or 246,100 persons), the following industries had a higher direct component: Accommodation and food services: 95 per cent (or 242,800 persons) of total tourism employment in the industry in Education and training: 90 per cent (or 36,600 persons) Arts and recreation: 91 per cent (or 35,300 persons) Retail trade: 79 per cent (or 101,000 persons). Six industries collectively accounted for 70 per cent of total tourism employment: Accommodation, cafés and restaurants - 255,600 (28 per cent of total) Retail trade - 127,400 employees (14.0 per cent of total) Air and water transport plus road and rail transport - 110,100 (12.1 per cent of total) Travel agency and tour operator services - 66,000 (7.3 per cent of total) Education and training - 40,700 (4.5 per cent of total) Arts and recreation services - 38,900 (4.3 per cent of total). The remaining 30 per cent (or 269,800) of total tourism employment was generated in All other industries. 15

24 Table 5: Direct and indirect employment by tourism industries, Direct employment (a) (a) Indirect employment (b) (b) Tourism indirect employment multiple (b)/(a) = (c) Total tourism employment = direct employment*(1+ E) 000 Ratio 000 Accommodation and food services Rail transport Road transport and motor vehicle hiring Air, water and other transport Travel agency and tour operator services Arts and recreation services Retail trade Education and training All other industries Total tourism employment Sources: (a) ABS Cat. No , and (b) TRA s estimates Growth in the contribution of main tourism industries to total tourism employment has been mixed (Figure 5 and Table 6). Total tourism employment added 291,800 persons (118,300 directly and 173,500 indirectly) to the Australian workforce between and , with the following industries also showing growth during this period: Accommodation and food services added around 56,800 persons (52,000 persons employed directly and 4,800 indirectly) Retail trade added 29,200 persons (19,100 persons employed directly and 10,100 persons indirectly) Travel agency and tour operator services added 21,300 persons (7,800 persons directly and 13,500 persons indirectly). During this period, employment in the tourism industry grew at an average annual rate of 2.8 per cent; higher than the 2.1 per cent for total employment in the economy. 16

25 Employed persons (000) Figure 6: Direct (a) and indirect (b) employment growth in the tourism industry, to , ( 000) Direct Indirect Total All other industries Education and training Retail trade Arts and recreation services Travel agency and tour operator services Air, water and other transport Road transport and motor vehicle hiring Rail transport Accommodation and food services Sources: (a) ABS Cat. No , and (b) TRA s estimates 17

26 Table 6: Total (direct (a) and indirect (b)) employment in tourism ( 000 persons) Accommodation and food services 1997 / / / / / / / / / / / / / / Rail transport / 12 Road transport and motor vehicle hiring Air, water and other transport Travel agency and tour operator services Arts and recreation services Retail trade Education and training All other industries Total Sources: (a) ABS Cat. No , and (b) TRA s estimates 18

27 Indirect employment in All other industries In , 246,100 persons were employed in All other industries. More than half (58 per cent) of total tourism-related indirect employment in this category occurred in Manufacturing (55,600 persons); Professional, scientific and technical services (52,300 persons); and Agriculture, forestry and fishing (34,400 persons). Around 22,700 persons were employed in Other services industries and 18,300 persons were employed in Wholesale industry. The Construction, Information and telecommunication services and Finance and insurance services industries employed around 16,500, 15,200 and 14,800 persons, respectively (Figure 6). Figure 7: Tourism employment in All other industries, Manufacturing Professional, scientific and technical services Agriculture, forestry and fishing Other services Wholesale trade Construction Finance and insurance Information and telecommunication services Public administration and safety Electricity, gas, water and waste water Mining Health care and social assistance Employed persons (000) Source: TRA s estimates Tourism multipliers The concept of indirect (and total) contribution to the Australian economy fully values tourism s supply chain. This is different to the concept of total and indirect multipliers, which reflects the economy-wide impacts on other sectors of the Australian economy. Care should be used in using multipliers as they are a measure of average effects, not marginal effects, and consequently do not take account of economies of scale, unused capacity or technological changes (ABS 1995). The calculation for the indirect contribution of tourism requires output multipliers. These are sourced from ABS input-output tables (ABS Cat. no ). Details on the output multipliers used in this analysis are presented in Table 7 in Appendix B, and are from the latest available input-output data for , released in September Applying these multipliers to tourism consumption expenditure in Australia in also provides tourism multiplier values for indirect output in Appendix B. 19

28 share in total tourism consumption at basic price (per cent) Tourism industry output multiplier Using this methodology, tourism s output multiplier for is valued at , which means for every dollar tourism earns directly in the Australian economy, it value adds an additional 88 cents to other parts of the economy. At 1.88, tourism s multiplier is larger than Mining (1.62), Retail trade (1.74) and Education and training (1.44). When applying both multipliers, a one per cent increase of tourism direct consumption expenditure of $91 billion ($910 million or one per cent of total) in , generated an output of $814 million (in nominal terms) outside tourism and increased employment of 2,871 persons outside tourism. Tourism multipliers over time The output multiplier value for the tourism industry may change depending upon the composition of tourism products consumed by visitors and the total multiplier value of the industries producing these products. The tourism industry output multiplier value seems to be influenced by three main products: Long distance transport; Takeaway and restaurant meals; and Accommodation services. These three products constituted around half (47 per cent) of the total tourism consumption in As can be seen in Figure 7, the tourism industry output multiplier value was highest at 1.91 in , but declined to 1.88 in This was consistent with the decline in the share of Long distance transport consumption expenditure, which declined from 21.4 per cent in to 18.3 per cent in The share of Takeaway and restaurant meals expenditure remained steady at 16.2 per cent, whereas Accommodation services share rose from 9.5 per cent in to 12.6 per cent in In , the multiplier value remained unchanged from at 1.88, in line with the increase in Accommodation services consumption, while the share of Long distance transport expenditure remained unchanged. Figure 8: Relationship between tourism product share and tourism output multiplier Long distance passenger transportation Takeaway and restaurant meals Accommodation services Retail margin Food products Recreational, cultural and sports services Education Tourism industry output multiplier (RHS) Source: Derived from ABS unpublished data 10 Tourism output multiplier changes every year depending upon the proportion of consumption expenditure by visitors. For , the tourism output multiplier value was 1.88, which was lower than the multiplier value of 1.91 in

29 Conclusion This report provides estimates of the total contribution of tourism to Australian GDP, GVA and employment for the period to The results presented reflect revised indirect tourism contribution estimates published by the ABS, and revisions to TRA s National Visitor Survey and International Visitor Survey data. The report highlights tourism s role in Australia s economic growth and its performance as compared to other industries. The report confirms that: Tourism is a critical component of the Australian economy, contributing around 6.0 per cent to national GVA and GDP, and 8.0 per cent to total employment. Tourism s indirect contribution to the economy is higher than some other industries including the Mining and Retail trade industries. The benefits of the tourism industry are far reaching, and significant for the economic growth of all sectors within Australia. Tourism s contribution to the Australian labour force is larger than that of the Mining industry. This shows that while Mining is important for Australia s economic growth, tourism is crucial not only for economic growth, but also for Australia s social growth. Despite its significant contribution to the economy, the tourism industry is at a disadvantage in terms of investment and innovation when compared with other industries, in particular Mining. For the tourism industry to achieve its potential, it is important that increased investment flows to areas such as innovation. This will allow improved productivity and smooth possible imbalances in the various industries that comprise tourism. 21

30 References Access Economics (2011, completed 2010), The 2020 tourism industry stretch goal (now called the 2020 Tourism Industry Potential), implications and imperatives, consultancy report for the Department of Resources, Energy and Tourism, Access Economics, Canberra (unpublished report). Australian Bureau of Statistics (ABS) 2013, Australian National Accounts, Tourism Satellite Accounts, , Cat. No , ABS, Canberra. ABS 2013, Overseas Arrivals and Departures, Cat. No , ABS, Canberra. ABS (1995), Information Paper: Australian National Accounts Introduction to Input- Output Multipliers, Cat. No , ABS, Canberra. Statistics New Zealand (2012), Tourism Satellite Account: 2012, Wellington: Statistics New Zealand Tourism Research Australia (2013), Travel by Australians June 2012 Quarterly Results of the National Visitor Survey, Tourism Research Australia, Canberra. Tourism Forecasting Committee, Forecast 2013 Issue 1, Tourism Research Australia, Canberra. United Nations Statistical Division, Statistical Office of the European Communities, Organisation for Economic Co-operation and Development, World Tourism Organization, Tourism Satellite Account: Recommended Methodological Framework, 2008, Luxemburg, Madrid, New York, Paris: United Nations. United Nations World Tourism Organization 2010, TSA Data Around The World Worldwide Summary, Statistics and Tourism Satellite Account Programme, June, UNWTO, Madrid. 22

31 Appendix A: Methodology for calculating indirect contribution The indirect contribution model developed and implemented by TRA uses relationships derived from the latest available input-output (I-O) table for from the ABS. The model assumes that from to , the industry structure of the Australian economy remained consistent with input-output tables. This also means that the model produces estimates based on the supply and demand relationships generated by the input-output tables. It does not take into account any year-to-year variation in supply and demand ratios. This assumption holds in terms of recently revised supply-use tables for the whole time-series based on Australian and New Zealand Standard Industrial Classification 2006 (ANZSIC 2006). Direct and indirect effects are measured in terms of three key economic indicators: tourism GDP, tourism GVA and tourism employment. It is difficult to directly measure employment in tourism because employees in tourism-related industries generally provide services to both visitors and non-visitors. The TSA measures direct tourism employment by applying the tourism GVA ratio in the benchmark year to the ABS Labour Force Survey estimates for tourism-related industries in subsequent years. This method assumes that the employment generated by tourism is directly proportional to the value added generated by tourism in the benchmark year. While this might not be strictly accurate, the method provides a way of apportioning total industry employment between servicing demands of visitors and non-visitors. Tourism industry GVA ratios are used for generating employment estimates for the subsequent years until a new benchmark is produced using revised estimates in terms of supply-use tables, service industry surveys and other new information. Employment estimates presented in this report are based on the benchmark year. The model The Australian TSA measures the direct effects of tourism activity. This is the activity of those businesses which directly supply a product to a visitor (tourist). For example, it includes a hotel providing accommodation to a visitor, or a retailer selling a souvenir to a visitor. When a visitor buys a meal in a restaurant, the direct tourism demand is the price of the meal. However, it does not include the indirect effects of tourism, which is of considerable interest. These are the up-stream effects of tourism demand on businesses which provide goods and services to the tourism industry. The indirect tourism demand generated from the supply of a meal to a visitor, for example, begins with the production of intermediate inputs used by the restaurant (e.g. the production of meat and vegetables used to make the meal, electricity for cooking etc). Producers of these inputs have no direct relationship with the visitor. Indirect tourism demand is calculated through input-output analysis. This analysis provides a breakdown of the supply and demand of commodities in the Australian economy. Input-output is based on a fundamental identity which equates supply and demand as follows: Let, in a simple production function form, t ij = At i + f i 23

32 where: t = total outputs of industry sectors A= inter-industry coefficients f = final demand for outputs of the industry sectors Solving the input-output model: t = At + f t At = f (I-A) t = f t = (I-A) -1 f where (I-A) -1, is the Leontief inverse, or input-output inverse/multiplier. TRA uses the following mathematical relationships to estimate indirect tourism contribution: Indirect output = [(I-A) -1 - I] F Indirect employment = E [(I-A) -1 - I] F A = a matrix (coefficient) derived from the I-O table. This table contains data on the flow of goods and services in the economy (e.g. who buys what, and who produces what) I = Identity matrix (ones in the diagonal and zeros elsewhere) (I-A) = matrix calculated by subtracting the coefficient matrix (A) from the identity matrix (I) (I-A) -1 = An inverse matrix showing by what factor (row) industry sells goods and services to (column) industry because of change in final demand F = Tourism consumption at basic prices E = Employment/output ratios The model uses input coefficients generated by econometric equations that predict input purchases based on an economy s characteristics. Output from the model includes total industry output, employment, and value-added for all industries in the Australian economy. Total industry output is defined as the value of production by industry per year. Employment represents total wages and salaried employees for both full-time and part-time workers. Total value added is defined as: all income paid to workers by employers self-employed income interests rents royalties dividends profit payments excise and sales taxes paid by individuals to businesses. 24

33 Appendix B: Input-output multipliers and tourism multipliers Input-output multipliers: The introduction of direct and indirect definitions in TSA has overlapped with a similar terminology (not the concept) that has been used historically in the input-output modelling technique. In the I-O modelling concept, direct contribution is the initial consumption demanded in the economy. The indirect contribution is the total flow-on effect on industries providing intermediate inputs to the industry supplying goods and services to the initial consumption. In order to account for tourism contribution correctly, the consumptions of TSA Direct and are combined to calculate the flow-on effects using the I-O multipliers. As mentioned, this report adopts and reports the TSA Direct tourism contribution as those in the national TSA, the contribution of the TSA Indirect contribution is then combined with the flow-on effect of tourism contribution in this report for the reporting purposes. Charts 8 and 9 summarise our process. As seen from Figure 8 and 9, total contribution is the same in both TSA and I-O multipliers approaches. Estimates in this report are provided separately for direct and indirect tourism effects in nominal terms unless stated otherwise. The report provides mainly tourism GDP, tourism GVA and tourism employment. Figure 9: Flow-on effect of tourism consumption TSA direct tourism output $74,588 m TSA indirect tourism output $16,319 m Total tourism consumption $90,907 = $74,561 + $16,319 I-O multipliers Total flow-on economic output generated by tourism consumption $171,294 m 25

TOURISM BUSINESSES IN AUSTRALIA. June 2010 to June 2012 TOURISM BUSINESSES IN AUSTRALIA

TOURISM BUSINESSES IN AUSTRALIA. June 2010 to June 2012 TOURISM BUSINESSES IN AUSTRALIA TOURISM BUSINESSES IN AUSTRALIA June 2010 to June 2012 TOURISM BUSINESSES IN AUSTRALIA TOURISM BUSINESSES IN AUSTRALIA, JUNE 2010 TO JUNE 2012 ACKNOWLEDGMENTS Tourism Businesses in Australia, June 2010

More information

Photo: James Horan Courtesy Destination New South Wales. Blue Mountains Tourism Industry Profile. Issue 1: 2014/15

Photo: James Horan Courtesy Destination New South Wales. Blue Mountains Tourism Industry Profile. Issue 1: 2014/15 Photo: James Horan Courtesy Destination New South Wales Blue Mountains Tourism Industry Profile Issue 1: 2014/15 1 BELL MT TOMAH MT WILSON MT IRVINE BILPIN BERAMBING MEGALONG VALLEY MT VICTORIA BLACKHEATH

More information

TOURISM EMPLOYMENT IN AUSTRALIA to TOURISM EMPLOYMENT IN AUSTRALIA

TOURISM EMPLOYMENT IN AUSTRALIA to TOURISM EMPLOYMENT IN AUSTRALIA TOURISM EMPLOYMENT IN AUSTRALIA 2011 12 to 2029 30 TOURISM EMPLOYMENT IN AUSTRALIA ACKNOWLEDGEMENTS The authors would like to thank the Productivity Commission for their input into the modelling work and

More information

Economic Impact Analysis. Tourism in Tasmania s West

Economic Impact Analysis. Tourism in Tasmania s West Economic Impact Analysis Tourism in Tasmania s West i Economic Impact Analysis Tourism in Tasmania s West This project has been conducted by REMPLAN Project Team Matthew Nichol Principal Economist Hui

More information

The UK Tourism Satellite Account (UK- TSA) for 2012. Tourism Direct Gross Value Added (GVA) was 57.3 billion in 2012.

The UK Tourism Satellite Account (UK- TSA) for 2012. Tourism Direct Gross Value Added (GVA) was 57.3 billion in 2012. Statistical Bulletin The UK Tourism Satellite Account (UK- TSA) for 2012 Coverage: UK Date: 26 June 2015 Geographical Area: UK Theme: People and Places Theme: Economy Main Figures Tourism Direct Gross

More information

Attributing employment to exports A sectoral analysis of the South Australian economy

Attributing employment to exports A sectoral analysis of the South Australian economy Attributing employment to exports A sectoral analysis of the South Australian economy www.statedevelopment.sa.gov.au Attributing Employment to Exports- A Sectoral Analysis of the South Australian Economy

More information

World Tourism Organisation

World Tourism Organisation World Tourism Organisation Capacity Building Program, Asia Workshop II Manila, Philippines 4 6 July 2011 Tourism Satellite Account - Why do we have it and what does it do? Why is tourism not identified

More information

Louisiana TOURISM SATELLITE ACCOUNT: AN UPDATE. LSU Division of Economic Development THE 2011

Louisiana TOURISM SATELLITE ACCOUNT: AN UPDATE. LSU Division of Economic Development THE 2011 Louisiana THE 2011 TOURISM SATELLITE ACCOUNT: AN UPDATE SUBMITTED TO: The Louisiana Department of Culture, Recreation and Tourism The Office of the Lieutenant Governor LSU Division of Economic Development

More information

Factors affecting the inbound tourism sector. - the impact and implications of the Australian dollar

Factors affecting the inbound tourism sector. - the impact and implications of the Australian dollar Factors affecting the inbound tourism sector - the impact and implications of the Australian dollar 1 Factors affecting the inbound tourism sector - the impact and implications of the Australian dollar

More information

Australia s Trade in Services with Singapore

Australia s Trade in Services with Singapore - 1 - Australia s Trade in Services with Singapore Singapore was Australia s fourth largest two-way trade in services partner in 212. Australia s two-way trade in services with Singapore was valued at

More information

GENDER ANALYSIS OF THE RECESSION

GENDER ANALYSIS OF THE RECESSION GENDER ANALYSIS OF THE 1990-91 RECESSION Commonwealth of Australia 2009 ISBN: 978 1 921380 47 1 This work is copyright. Apart from any use as permitted under the Copyright act 1968, no part may be reproduced

More information

STATE TOURISM SATELLITE ACCOUNTS STATE TOURISM SATELLITE ACCOUNTS

STATE TOURISM SATELLITE ACCOUNTS STATE TOURISM SATELLITE ACCOUNTS STATE TOURISM SATELLITE ACCOUNTS 2014 15 STATE TOURISM SATELLITE ACCOUNTS ACKNOWLEDGMENTS The State Tourism Satellite Accounts series has been produced as part of a modelling program established and funded

More information

Tourism: jobs and growth The economic contribution of the tourism economy in the UK

Tourism: jobs and growth The economic contribution of the tourism economy in the UK Tourism: jobs and growth The economic contribution of the tourism economy in the UK November 2013 Contents The Tourism Economy: contributing to UK growth 1 Tourism: Benefitting all of Britain 2 Executive

More information

11th National Convention on Statistics (NCS) EDSA Shangri-La Hotel October 4-5, 2010

11th National Convention on Statistics (NCS) EDSA Shangri-La Hotel October 4-5, 2010 11th National Convention on Statistics (NCS) EDSA Shangri-La Hotel October 4-5, 2010 INPUT-OUTPUT MULTIPLIER ANALYSIS FOR MAJOR INDUSTRIES IN THE PHILIPPINES by Madeline B. Dumaua For additional information,

More information

South Australian Tax Review

South Australian Tax Review South Australian Tax Review Response to Discussion Paper APRIL 2015 Page 1 RESTAURANT & CATERING AUSTRALIA Restaurant & Catering Australia (R&CA) is the national industry association representing the interests

More information

On March 11, 2010, President Barack

On March 11, 2010, President Barack U.S. Department of Commerce International Trade Administration Introduction Exports Support American Jobs Updated measure will quantify progress as global economy recovers. On March 11, 21, President Barack

More information

Smart and Skilled: Industry Profile Financial and Insurance Services

Smart and Skilled: Industry Profile Financial and Insurance Services Smart and Skilled: Industry Profile Financial and Insurance Services Overview At a Glance: The largest contributor to the NSW economy and a mid-sized employing industry Employment is highly concentrated

More information

QUARTERLY NATIONAL ACCOUNTS INVENTORY

QUARTERLY NATIONAL ACCOUNTS INVENTORY AGENCY FOR STATISTICS OF BOSNIA AND HERZEGOVINA QUARTERLY NATIONAL ACCOUNTS INVENTORY BOSNIA AND HERZEGOVINA 2013 TABLE OF CONTENTS: Chapter 1 Organization and institutional arrangements 2 Chapter 2 Publication

More information

Fastest growing occupations

Fastest growing occupations Fastest growing occupations During the period from 2006 to 2011, the number of Education aides grew strongly by 27.4 per cent or 2,025 workers, with growth distributed across Melbourne (Figure 7.39). The

More information

The Economic Impact of Tourism in Ohio. May 2011

The Economic Impact of Tourism in Ohio. May 2011 The Economic Impact of Tourism in Ohio May 2011 Key themes for 2010 The Ohio visitor economy rebounded in 2010, recovering about 70% of the losses experienced during the recession Visitor volumes expanded

More information

Outsourcing and Imported Services in BEA s Industry Accounts

Outsourcing and Imported Services in BEA s Industry Accounts Outsourcing and Imported Services in BEA s Industry Accounts Robert E. Yuskavage, Erich H. Strassner, and Gabriel W. Medeiros U.S. Department of Commerce Bureau of Economic Analysis Washington DC Paper

More information

Blue Mountains Health and Wellbeing Industry Profile

Blue Mountains Health and Wellbeing Industry Profile Blue Mountains Health and Wellbeing Industry Profile Issue 1: 2014/15 1 health and wellbeing BELL MT TOMAH MT WILSON MT IRVINE BILPIN BERAMBING MEGALONG VALLEY MT VICTORIA BLACKHEATH MEDLOW BATH KATOOMBA

More information

Employment Outlook for. Electricity, Gas, Water and Waste Services

Employment Outlook for. Electricity, Gas, Water and Waste Services Employment Outlook for Electricity, Gas, Water and Waste Contents INTRODUCTION... 3 EMPLOYMENT GROWTH... 4 EMPLOYMENT PROSPECTS... 6 VACANCY TRENDS... 8 WORKFORCE AGEING... 10 EMPLOYMENT BY GENDER AND

More information

5. Price and Wage Developments

5. Price and Wage Developments . Price and Wage Developments Recent Developments in Inflation Inflation rose in the December quarter, following a low September quarter outcome (Table.; Graph.). Indicators of underlying inflation increased

More information

Innovation in New Zealand: 2011

Innovation in New Zealand: 2011 Innovation in New Zealand: 2011 Crown copyright This work is licensed under the Creative Commons Attribution 3.0 New Zealand licence. You are free to copy, distribute, and adapt the work, as long as you

More information

A Labour Economic Profile of New Brunswick

A Labour Economic Profile of New Brunswick A Labour Economic Profile of New Brunswick January 2016 Table of Contents New Brunswick Highlights........................... 2 Current Business Environment....................... 3 GDP Snapshot....................................

More information

Employment in Tourism Industries, 2009-2013

Employment in Tourism Industries, 2009-2013 Employment in Tourism Industries, 2009-2013 Author Name(s): Chris S Payne and Sean White, ONS Abstract This analysis describes how employment within UK tourism industries has changed over the time period

More information

MINISTRY OF FINANCE AND ECONOMIC MANAGEMENT GOVERNMENT OF THE COOK ISLANDS COOK ISLANDS STATISTICAL BULLETIN

MINISTRY OF FINANCE AND ECONOMIC MANAGEMENT GOVERNMENT OF THE COOK ISLANDS COOK ISLANDS STATISTICAL BULLETIN . MINISTRY OF FINANCE AND ECONOMIC MANAGEMENT GOVERNMENT OF THE COOK ISLANDS COOK ISLANDS STATISTICAL BULLETIN GROSS DOMESTIC PRODUCT December Quarter 2015 Gross Domestic Product (GDP) for December Quarter

More information

The economic impact of the University of West London

The economic impact of the University of West London The economic impact of the University of West London Contents Executive Summary 2 1 Introduction 4 1.1 Purpose of report 1.2 Acknowledgements 2 Measuring the economic impact of the University 6 2.1 How

More information

Business Operations Survey: 2010

Business Operations Survey: 2010 Operations Survey: 2010 Embargoed until 10:45am 08 April 2011 Highlights Of businesses surveyed in 2010: 51 percent had conducted, or planned to conduct, price reviews due to the GST rise in October 2010,

More information

Small, Medium-sized, and Large Businesses in the Canadian Economy: Measuring Their Contribution to Gross Domestic Product from 2001 to 2008

Small, Medium-sized, and Large Businesses in the Canadian Economy: Measuring Their Contribution to Gross Domestic Product from 2001 to 2008 Catalogue no. 11F0027M No. 082 ISSN 1703-0404 ISBN 978-1-100-21432-0 Research Paper Economic Analysis (EA) Research Paper Series Small, Medium-sized, and Large Businesses in the Canadian Economy: Measuring

More information

UK outsourcing across the private and public sectors. An updated national, regional and constituency picture

UK outsourcing across the private and public sectors. An updated national, regional and constituency picture UK outsourcing across the private and public sectors An updated national, regional and constituency picture Report prepared by Oxford Economics for the Business Services Association November 2012 Contents

More information

An Economic Impact Analysis.

An Economic Impact Analysis. Briefing August 2013 Making Dollars and Sense of Canada s Mutual Fund Industry An Economic Impact Analysis. At a Glance Canada s mutual fund industry directly created $5.8 billion in real GDP in 2012 on

More information

BUSINESS STATISTICS SNAPSHOT UPDATE April 2015

BUSINESS STATISTICS SNAPSHOT UPDATE April 2015 BUSINESS STATISTICS SNAPSHOT UPDATE April 2015 Australian Overview 1 Australian Businesses 1 The number of actively trading businesses in Australia was 2 100 162 at June 2014, increased by 1 per cent (20

More information

What is driving Australians' travel choices?

What is driving Australians' travel choices? What is driving Australians' travel choices? What is driving Australians' travel choices? ISBN 978-1-921812-45-3 Tourism Research Australia Department of Resources, Energy and Tourism GPO Box 1564 Canberra

More information

THE 2006 LOUISIANA TOURISM SATELLITE ACCOUNT AN UPDATE

THE 2006 LOUISIANA TOURISM SATELLITE ACCOUNT AN UPDATE THE 2006 LOUISIANA TOURISM SATELLITE ACCOUNT AN UPDATE Submitted to The Louisiana Department of Culture, Recreation and Tourism And The Office of the Lieutenant Governor By Professor Dek Terrell Director,

More information

Contribution of S ESOPs to participants retirement security

Contribution of S ESOPs to participants retirement security Contribution of S ESOPs to participants retirement security Prepared for the Employee-Owned S Corporations of America March 2015 Executive summary Since 1998, S corporations have been permitted to maintain

More information

May 2015. The economic impact of the UK Maritime Services Sector: Business Services

May 2015. The economic impact of the UK Maritime Services Sector: Business Services May 2015 The economic impact of the UK Maritime Services Sector: Business Services Contents 1 Executive summary... 2 2 Introduction... 4 2.1 The channels of economic impact... 4 2.2 Report structure...

More information

The Coal Economy. Resource-related activities. Resource Extraction. The Australian Coal Industry. Adding value to the Australian Economy

The Coal Economy. Resource-related activities. Resource Extraction. The Australian Coal Industry. Adding value to the Australian Economy The Australian Coal Industry Adding value to the Australian Economy Sinclair Davidson and Ashton de Silva April 2013 The Coal Economy Resource-related activities Resource Extraction Core coal mining coal

More information

The Financial Position of Australian Unlisted Businesses

The Financial Position of Australian Unlisted Businesses The Financial Position of Australian Unlisted Businesses Tom Bilston and Melissa Watson* Using a variety of information sources, the financial position of unlisted firms in recent years is examined and

More information

Impacts of proposed Grand Final public holiday August 2015

Impacts of proposed Grand Final public holiday August 2015 Impacts of proposed Grand Final public holiday August 2015 PROPOSED NEW PUBLIC HOLIDAY ON GRAND FINAL FRIDAY IS A COST TO BUSINESSES AND THE VICTORIAN ECONOMY Ai Group s latest research survey of Australian

More information

Economic Value of Sport in England 1985-2008

Economic Value of Sport in England 1985-2008 Economic Value of Sport in England 1985-2008 c August 2010 Sport Industry Research Centre Sheffield Hallam University Contents Definitions Page iii Executive Summary iv Chapter 1: Introduction 1 1.1: Terms

More information

Business Finance: Will I Make a Profit?

Business Finance: Will I Make a Profit? By: Michael Brown Business Finance: Will I Make a Profit? FOCUS: Overview: Students analyze the financial information from two business plans to learn how revenues can be increased or costs decreased in

More information

HR TRENDS AND INSIGHTS: FALLING OIL PRICES AND DECREASED INDUSTRY SPENDING - EMPLOYMENT IMPACTS

HR TRENDS AND INSIGHTS: FALLING OIL PRICES AND DECREASED INDUSTRY SPENDING - EMPLOYMENT IMPACTS HR TRENDS AND INSIGHTS: FALLING OIL PRICES AND DECREASED INDUSTRY SPENDING - EMPLOYMENT IMPACTS This project is funded by Government Canada s Sectoral Initiatives Program FOREWORD Over Over last two last

More information

Board of Taxation. Review into Small Business Tax Impediments MAY Page 1

Board of Taxation. Review into Small Business Tax Impediments MAY Page 1 Board of Taxation Review into Small Business Tax Impediments MAY 2014 Page 1 RESTAURANT & CATERING AUSTRALIA Restaurant & Catering Australia (R&CA) is the national industry association representing the

More information

Regional Economic Impact Analysis

Regional Economic Impact Analysis Section III: Applying Knowledge Regional Economic Impact Analysis Summary In this activity, teachers present a lecture related to assessing regional economic impacts and students use this knowledge to

More information

Small Business, equity and flexibility data

Small Business, equity and flexibility data Small Business, equity and flexibility data Gender wage gap in small business The weekly Gender Wage Gap (women s average earnings as a % of men s average earnings) for full-time non-managerial employees

More information

Jersey Gross Value Added (GVA) and Gross National Income (GNI) 2009

Jersey Gross Value Added (GVA) and Gross National Income (GNI) 2009 Jersey Gross Value Added (GVA) and Gross National Income (GNI) 2009 Statistics Unit: www.gov.je/statistics Headlines In 2009: Jersey s economy, as measured by GVA, declined in real terms by -6%; this fall

More information

Census of International Trade in Services and Royalties: Year ended June 2005

Census of International Trade in Services and Royalties: Year ended June 2005 Embargoed until 10:45 AM - Wednesday, October 26, 2005 Census of International Trade in Services and Royalties: Year ended June 2005 Highlights Major exports of commercial services were: communication,

More information

Sources United States-NAICS based

Sources United States-NAICS based Sources United States-NAICS based The basic building blocks for a KLEMS productivity database for the U.S. are the annual industry accounts for the United States provided by the BEA. Beginning with 1998,

More information

The Economic Impact of the New Hospital on the Economy of Drumright, Creek County, Oklahoma

The Economic Impact of the New Hospital on the Economy of Drumright, Creek County, Oklahoma The Economic Impact of the New Hospital on the Economy of Drumright, Creek County, Oklahoma Drumright Creek County Oklahoma Cooperative Extension Service Oklahoma Office of Rural Health Rural Health Policy

More information

Employment Outlook to November 2018

Employment Outlook to November 2018 Based on the Department of Employment s 2014 employment projections Table of Contents Introduction... 2 Projected employment growth by industry... 3 Projected employment growth by skill level... 5 Projected

More information

Work-related injuries experienced by young workers in Australia, 2009 10

Work-related injuries experienced by young workers in Australia, 2009 10 Work-related injuries experienced by young workers in Australia, 2009 10 March 2013 SAFE WORK AUSTRALIA Work-related injuries experienced by young workers in Australia, 2009 10 March 2013 Creative Commons

More information

Economic Impact Analysis of the Tourism Industry

Economic Impact Analysis of the Tourism Industry Economic Impact Analysis of the Tourism Industry Report Prepared for the Kissimmee Convention and Visitors Bureau By The Dick Pope Sr. Institute for Tourism Studies The Dick Pope Sr. Institute for Tourism

More information

Enhancing the value of Health Care Services at a regional level

Enhancing the value of Health Care Services at a regional level Enhancing the value of Health Care Services at a regional level Dr. Galina Williams 1 (Ivanova) and Dr. Delwar Akbar 2 1 School of Business and Law, CQUniversity, 160 Ann Street, Brisbane, Queensland,

More information

Quarterly Employment Survey: September 2011 quarter

Quarterly Employment Survey: September 2011 quarter Quarterly Employment Survey: September 2011 quarter Embargoed until 10:45am 01 November 2011 Key facts This is the first quarter in which the Quarterly Employment Survey has seasonally adjusted employment

More information

KING COLLEGE SCHOOL OF BUSINESS KING COLLEGE REGIONAL ECONOMIC STUDIES (KCRES) KCRES PAPER NO. 4, May 2012

KING COLLEGE SCHOOL OF BUSINESS KING COLLEGE REGIONAL ECONOMIC STUDIES (KCRES) KCRES PAPER NO. 4, May 2012 KING COLLEGE SCHOOL OF BUSINESS KING COLLEGE REGIONAL ECONOMIC STUDIES (KCRES) KCRES PAPER NO. 4, May 2012 Economic Impact Multipliers for the Coalfield Region of Southwestern Virginia The Coalfield Region

More information

Impact of the recession

Impact of the recession Regional Trends 43 21/11 Impact of the recession By Cecilia Campos, Alistair Dent, Robert Fry and Alice Reid, Office for National Statistics Abstract This report looks at the impact that the most recent

More information

6. Real GDP means the value of goods and services is measured in prices. A) current B) actual C) constant D) average

6. Real GDP means the value of goods and services is measured in prices. A) current B) actual C) constant D) average Name: Date: 1. Assume that total output consists of 4 apples and 6 oranges and that apples cost $1 each and oranges cost $0.50 each. In this case, the value of GDP is: A) 10 pieces of fruit. B) $7. C)

More information

ESTIMATION OF QUARTERLY ACCOUNTS IN INDIA

ESTIMATION OF QUARTERLY ACCOUNTS IN INDIA ESTIMATION OF QUARTERLY ACCOUNTS IN INDIA Ramesh Kolli 1 Additional Director General Ministry of Statistics and Programme Implementation, India I INTRODUCTION 1. The Central Statistical Organisation (CSO)

More information

Measuring GDP and Economic Growth

Measuring GDP and Economic Growth 20 Measuring GDP and Economic Growth After studying this chapter you will be able to Define GDP and explain why GDP equals aggregate expenditure and aggregate income Explain how Statistics Canada measures

More information

MEASURING GDP AND ECONOMIC GROWTH CHAPTER

MEASURING GDP AND ECONOMIC GROWTH CHAPTER MEASURING GDP AND ECONOMIC GROWTH CHAPTER Objectives After studying this chapter, you will able to Define GDP and use the circular flow model to explain why GDP equals aggregate expenditure and aggregate

More information

Australia s gender equality scorecard

Australia s gender equality scorecard Australia s gender equality scorecard Key findings from the Workplace Gender Equality Agency s 2014-15 reporting data November 2015 WGEA dataset 4 million employees 4,670 reports 12,000+ employers Introduction

More information

Effective Federal Income Tax Rates Faced By Small Businesses in the United States

Effective Federal Income Tax Rates Faced By Small Businesses in the United States Effective Federal Income Tax Rates Faced By Small Businesses in the United States by Quantria Strategies, LLC Cheverly, MD 20785 for Under contract number SBAHQ-07-Q-0012 Release Date: April 2009 This

More information

Pricing Business and Management Consulting: The New Zealand Experience. Tuesday Morning PPI Mini-Presentations (BB)

Pricing Business and Management Consulting: The New Zealand Experience. Tuesday Morning PPI Mini-Presentations (BB) Pricing Business and Management Consulting: The New Zealand Experience Tuesday Morning PPI Mini-Presentations (BB) 20 th Meeting of the Voorburg Group Helsinki, Finland September 2005 Jodi York Prices

More information

Tourism satellite account (TSA) of the Czech Republic

Tourism satellite account (TSA) of the Czech Republic UNWTO Committee on statistics and TSA Tourism satellite account (TSA) of the Czech Republic Theme: Summary of updated results 2003-2006 Problems in the Czech TSA Zdenek Lejsek Pavel Vancura Ninth meeting,

More information

Economic Multipliers and Mega-Event Analysis

Economic Multipliers and Mega-Event Analysis Economic Multipliers and Mega-Event Analysis Victor A. Matheson June 2004 COLLEGE OF THE HOLY CROSS, DEPARTMENT OF ECONOMICS FACULTY RESEARCH SERIES, WORKING PAPER NO. 04-02 * Department of Economics College

More information

The impact on the UK economy of a reduction in fuel duty

The impact on the UK economy of a reduction in fuel duty The impact on the UK economy of a reduction in fuel duty Report for Fair Fuel UK March 2012 Centre for Economics and Business Research Ltd. Unit 1, 4 Bath Street, London EC1V 9DX t: 020 7324 2850 f: 020

More information

billion paid to private sector workers during 2012. Focus on Meeting and Convention Segment. The convention and

billion paid to private sector workers during 2012. Focus on Meeting and Convention Segment. The convention and Executive Summary Applied Analysis was retained by the Las Vegas Convention and Visitors Authority (the LVCVA ) to review and analyze the economic impacts associated with its various operations and southern

More information

APPENDIX A SENSITIVITY ANALYSIS TABLE

APPENDIX A SENSITIVITY ANALYSIS TABLE APPENDIX A SENSITIVITY ANALYSIS TABLE The economic forecasts and assumptions underpinning the 2013-14 Budget are subject to variation. This section analyses the impact of variations in these parameters

More information

The economic contribution of the UK hospitality industry

The economic contribution of the UK hospitality industry The economic contribution of the UK hospitality industry A report prepared by Oxford Economics for the British Hospitality Association Contents 1 Introduction... 2 1.1 Purpose of the study... 2 1.2 Definition

More information

2011 EMPLOYEE BENEFITS SURVEY REPORT

2011 EMPLOYEE BENEFITS SURVEY REPORT 2011 EMPLOYEE BENEFITS SURVEY REPORT Medical benefits Health insurance costs Premium coverage Retirement plans Paid leave Washington State Employment Security Department Labor Market and Economic Analysis

More information

Economic Indicators -- United Arab Emirates

Economic Indicators -- United Arab Emirates Economic Indicators -- United Arab Emirates United Arab Emirates Middle East & North Africa Gross Domestic Product, 2000 World GDP in million constant 1995 US dollars X 826,705 34,109,900 GDP PPP (million

More information

Procurement Outsourcing Services¹

Procurement Outsourcing Services¹ Procurement Outsourcing Services¹ The following overview of the procurement outsourcing services in Australia is mainly based on the information provided by IBISWorld and consists of additional information

More information

Tools for Understanding Economic Change in Communities: Economic Base Analysis and Shift-Share Analysis

Tools for Understanding Economic Change in Communities: Economic Base Analysis and Shift-Share Analysis Tools for Understanding Economic Change in Communities: Economic Base Analysis and Shift-Share Analysis Circular 643A Anil Rupasingha and J. Michael Patrick 1 Cooperative Extension Service College of Agricultural,

More information

Economic Impact of the University of Gloucestershire

Economic Impact of the University of Gloucestershire Economic Impact of the University of Gloucestershire A report to BiGGAR Economics Midlothian Innovation Centre Pentlandfield Roslin, Midlothian EH25 9RE 0131 440 9032 info@biggareconomics.co.uk www.biggareconomics.co.uk

More information

Labour Market Brief September Quarter 2015

Labour Market Brief September Quarter 2015 Labour Market Brief September Quarter 2015 Key Message Overall the labour market continues to remain relatively tight, with both full time and part time employment continuing to increase since the beginning

More information

Jersey Gross Value Added (GVA) and Gross National Income (GNI) 2008 Statistics Unit:

Jersey Gross Value Added (GVA) and Gross National Income (GNI) 2008 Statistics Unit: Jersey Gross Value Added (GVA) and Gross National Income (GNI) 2008 Statistics Unit: www.gov.je/statistics Headlines Jersey s economy, as measured by GVA, grew in real terms by 2% in 2008, a lower rate

More information

The Economic Contribution of Copyright-Based Industries in Australia

The Economic Contribution of Copyright-Based Industries in Australia The Economic Contribution of Copyright-Based Industries in Australia 3 Prepared for the Australian Copyright Council by Price Waterhouse Coopers Contents Key findings 3 Introduction 7 1 Value added by

More information

The Economic Impact of Tourism in New York. 2010 Calendar Year Catskills Focus

The Economic Impact of Tourism in New York. 2010 Calendar Year Catskills Focus The Economic Impact of Tourism in New York 2010 Calendar Year Catskills Focus Key themes in 2010 The New York State visitor economy rebounded in 2010, recovering 94% of the losses experienced during the

More information

Introduction. Current methodology

Introduction. Current methodology Estimation of Software in the U.S. National Accounts: New Developments by Carol Moylan Bureau of Economic Analysis U. S. Department of Commerce Washington, DC 20230, USA Introduction In 1999, as part of

More information

2013 Cape Breton Celtic Classic Sydney, Nova Scotia

2013 Cape Breton Celtic Classic Sydney, Nova Scotia 2013 Cape Breton Celtic Classic Sydney, Nova Scotia Economic Impact Assessment December 2013 The following analysis details the economic impact of the PGA Tour of Canada 2013 Cape Breton Celtic Classic

More information

The Shares of Indiana Taxes Paid by Businesses and Individuals: An Update for 2006

The Shares of Indiana Taxes Paid by Businesses and Individuals: An Update for 2006 The s of Indiana Taxes Paid by es and Individuals: An Update for 2006 Larry DeBoer Department of Agricultural Economics Purdue University October 2007 Summary The s of Indiana Taxes Paid by es and Individuals:

More information

7. Which of the following is a flow variable? A) wealth B) the number unemployed C) government debt D) income

7. Which of the following is a flow variable? A) wealth B) the number unemployed C) government debt D) income Name: Date: 1. GDP is all of the following except the total: A) expenditure of everyone in the economy. B) income of everyone in the economy. C) expenditure on the economy's output of goods and services.

More information

Employment supported by final demand for construction services

Employment supported by final demand for construction services Employment supported by final demand for construction services Queensland Treasury Office of Economic and Statistical Research Technical Note June 2011 Office of Economic and Statistical Research, Level

More information

TRAVEL BY AUSTRALIANS

TRAVEL BY AUSTRALIANS TRAVEL BY AUSTRALIANS Quarterly results of the National Visitor Survey JUNE 2013 TRAVEL BY AUSTRALIANS Travel by Australians June 2013 Quarterly Results of the National Visitor Survey Image: Sailing,

More information

The Economic Impact of Tourism in New York. 2010 Calendar Year Central New York Focus

The Economic Impact of Tourism in New York. 2010 Calendar Year Central New York Focus The Economic Impact of Tourism in New York 2010 Calendar Year Central New York Focus Key themes in 2010 The New York State visitor economy rebounded in 2010, recovering 94% of the losses experienced during

More information

Australian Workers Compensation Statistics, 2012 13

Australian Workers Compensation Statistics, 2012 13 Australian Workers Compensation Statistics, 2012 13 In this report: Summary of statistics for non-fatal workers compensation claims by key employment and demographic characteristics Trends in serious claims

More information

Project LINK Meeting New York, 20-22 October 2010. Country Report: Australia

Project LINK Meeting New York, 20-22 October 2010. Country Report: Australia Project LINK Meeting New York, - October 1 Country Report: Australia Prepared by Peter Brain: National Institute of Economic and Industry Research, and Duncan Ironmonger: Department of Economics, University

More information

Understanding the travel and tourism labour market. A report for ABTA

Understanding the travel and tourism labour market. A report for ABTA Understanding the travel and tourism labour market A report for ABTA July 2014 2 Disclaimer Whilst every effort has been made to ensure the accuracy of the material in this document, neither Centre for

More information

The tradable sector and its relevance to New Zealand s GDP

The tradable sector and its relevance to New Zealand s GDP The tradable sector and its relevance to New Zealand s GDP Paper presented at the New Zealand Association of Economists conference, at Wellington, New Zealand, 3 July 2013 Jason Attewell Manager, Balance

More information

The purpose of this paper is to describe the experience of the Australian Bureau of Statistics (ABS) with the production approach to measuring GDP.

The purpose of this paper is to describe the experience of the Australian Bureau of Statistics (ABS) with the production approach to measuring GDP. THE PRODUCTION APPOACH TO MEASURING GDP The purpose of this paper is to describe the experience of the Australian Bureau of Statistics (ABS) with the production approach to measuring GDP. With reference

More information

Saskatchewan Small Business Profile 2015

Saskatchewan Small Business Profile 2015 Saskatchewan Small Business Profile 2015 October 2015 Ministry of the Economy Performance and Strategic Initiatives Division economy.gov.sk.ca Table of Contents INTRODUCTION... 1 KEY FACTS... 3 1. SMALL

More information

Re:think. Response to the tax discussion paper MAY 2015. Page 1

Re:think. Response to the tax discussion paper MAY 2015. Page 1 Re:think Response to the tax discussion paper MAY 2015 Page 1 RESTAURANT & CATERING AUSTRALIA Restaurant & Catering Australia (R&CA) is the national industry association representing the interests of 35,000

More information

India s Services Exports

India s Services Exports Markus Hyvonen and Hao Wang* Exports of services are an important source of demand for the Indian economy and account for a larger share of output than in most major economies. The importance of India

More information

Gross Domestic Product: Q3/2015

Gross Domestic Product: Q3/2015 7 December 1100 hrs 224/ Provisional estimates indicate that the Gross Domestic Product (GDP) for the third quarter of amounted to 2,299.6 million, an increase of 171.3 million or 8.0 per cent over the

More information

Sapphire Coast Visitor Profile and Satisfaction Report: Summary and Discussion of Results

Sapphire Coast Visitor Profile and Satisfaction Report: Summary and Discussion of Results Sapphire Coast Visitor Profile and Satisfaction Report: Summary and Discussion of Results Introduction The Sapphire Coast Visitor Profile and Satisfaction (VPS) project was completed as part of the Destination

More information

Watching our weights: Keeping GDP relevant

Watching our weights: Keeping GDP relevant Watching our weights: Keeping GDP relevant Paper presented at the New Zealand Association of Economists Conference Wellington, New Zealand 1-3 July 2015 Matthew Collison Statistical Analyst, National Accounts,

More information

Gross Domestic Product. Will the Canadian economy weaken through the next year and shrink, or will it remain strong and expand?

Gross Domestic Product. Will the Canadian economy weaken through the next year and shrink, or will it remain strong and expand? Will the Canadian economy weaken through the next year and shrink, or will it remain strong and expand? To assess the state of the economy and to make big decisions about business expansion, firms use

More information

THE MANUFACTURING VALUE CHAIN Is Much Bigger Than You Think!

THE MANUFACTURING VALUE CHAIN Is Much Bigger Than You Think! THE MANUFACTURING VALUE CHAIN Is Much Bigger Than You Think! Coal mined for making domestic steel Sheet steel manufactured for auto production Electricity, water, and gas used by manufacturing and distribution

More information