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Economic impact of nature-based tourism

Author

Listed:
  • Anubhab Gupta
  • Heng Zhu
  • Hasita Bhammar
  • Elisabeth Earley
  • Mateusz Filipski
  • Urvashi Narain
  • Phoebe Spencer
  • Edward Whitney
  • J Edward Taylor

Abstract

Protected areas (PAs) can help address biodiversity loss by promoting conservation while fostering economic development through sustainable tourism. Nature-based tourism can generate economic benefits for communities in and around PAs; however, its impacts do not lend themselves to conventional impact evaluation tools. We utilize a Monte Carlo simulation approach with econometric estimations using microdata to estimate the full economic impact of nature-based tourism on the economies surrounding three terrestrial and two marine PAs. Simulations suggest that nature-based tourism creates significant economic benefits for communities around PAs, including the poorest households, and many of these benefits are indirect, via income and production spillovers. An additional tourist increases annual real income in communities near the PAs by US$169—$2,400, significantly more than the average tourist’s expenditure. Conversely, lost tourism due to the COVID-19 pandemic and economic costs of human-wildlife conflict have disproportionately large negative impacts on local incomes.

Suggested Citation

  • Anubhab Gupta & Heng Zhu & Hasita Bhammar & Elisabeth Earley & Mateusz Filipski & Urvashi Narain & Phoebe Spencer & Edward Whitney & J Edward Taylor, 2023. "Economic impact of nature-based tourism," PLOS ONE, Public Library of Science, vol. 18(4), pages 1-16, April.
    • Handle: RePEc:plo:pone00:0282912
    DOI: 10.1371/journal.pone.0282912
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