The economic impacts of tourism-related private investment in Jamaica
Abstract
This study assesses the economy-wide impacts of private investment in the hotel industry in Jamaica. Specifically, the paper develops a tourism-extended social accounting matrix (SAM) and a dynamic computable general equilibrium (CGE) model tailored to the Jamaican economy. To analyse impacts in terms of poverty and inequality, the CGE model results are linked with a microsimulation model. The results demonstrate that private tourism investments leading to an expansion of foreign demand for tourism can have positive impacts on national economies in terms of gross domestic product (GDP), employment, household incomes and poverty reduction. However, the distribution of benefits is dependent on socioeconomic factors such as the distribution of factor endowments among households. At the sectoral level, sectors catering more directly to tourism experience the highest rates of growth, while more export-oriented sectors do not fare as well given the upward pressure on prices and the real exchange rate resulting from higher tourism spending.
Translation
Las repercusiones económicas de la inversión privada en el sector del turismo en JamaicaSee all articles of this issue
Serie
CEPAL Review No. 135ECLAC Subtopics
ECONOMIC GROWTH ; INDUSTRIAL DEVELOPMENT ; TOURISMUnited Nations Subtopics
TOURISM ; INVESTMENTS ; PRIVATE SECTOR ; HOTEL INDUSTRY ; ECONOMIC GROWTH ; POVERTY MITIGATION ; EQUALITY ; EVALUATION ; MATHEMATICAL MODELSCountry / Region
JAMAICACollections
en