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2. What kinds of questions are each of the following ? answers are written in brackets
a. The level of a minimum wage for the hotel industry. (Economics)
b. Whether violent games should be banned. ( Ethics )
c. The effects of a rise in interest rates (Economics)
d. Maximising profits from the sales of video games. (marketing)
e. Imposing a tax on aviation fuel (Economics)
f. Ending duty-free sales (Economics)
g. The location of the next Olympic games. (aesthetics)
4. Frame two leisure and tourism questions which are exclusively economic.
# Is government intervention needed to emit the negative externalities created by Air
lines?
# How is the consumer demand affected for tourism packages due to coronavirus ?
Task 1.2
1. What kind of jobs are provided in recreation, leisure and tourism ?
In the tourism sector, many souvenir shops attract tourists when they go to different
country’s attraction spots. Also, airlines for transportation, private tourism companies for
fitness clubs, spas, food, and accommodation services such as resorts and hotels. Also,
event management for events and festivals like concerts, music, art and reading.
Furthermore, for home-based recreation people may buy books, movies and even DIY
resources.
The US's top three industries include tourism. US $621billion is gained from tourism.
This means when the tourists come from different countries to export goods from the US
increasing the sales of local shops of The US. This contributes to the effort of
accomplishing the government objective balance of payments surplus. Furthermore, the
citizens of the US themselves spend their disposable income on recreation such as
entertainment, sporting goods and toys, books, magazines and home electronics. This
high demand for recreation leads the citizens to import from other countries for finding
variety in the recreation goods they want to purchase.
3. Explain
a) How the US market economy works to produce changing patterns of output of
automobiles, agriculture and leisure ?
c) How does the allocative mechanism of the USA differ from that in Cuba ?
The allocative mechanism is significant to leisure and tourism. The USA has
transformed from communism to Capitalism meaning centrally planned to market
economy. This means tourism culture such as hotels, restaurants and resorts
have become customer orientated. They produce according to the demand
patterns of the consumer. However, Cuba is still centrally planned meaning the
economy is state owned focusing on the needs of the people not wanted. Leisure
which is a discretionary time comes under people's wants. Hence, Cuba does not
focus on leisure activities.
4.Are there negative economic impacts of recreation, leisure and tourism industries ?
The production of leisure, recreation and tourism industries have a series of externalities. The
negative externalities include the air pollution created by Air travel. Also, while producing
recreational products such as Television air and noise pollution is disposed of. Also, the
increased demand for recreation and leisure may lead the locals to import high ranges of goods
and services from other countries creating more imports than exports leading to a balance of
payments deficit.
5. How significant are recreation, leisure and tourism industries to the economy of the
country where you are studying ?
Manchester is a metropolitan city famous for its Museums, John rynalds library, the manchester
united stadium, the quay river, restaurants, parks and finally my university, university of
Manchester . Hence, the city has myriads of students coming in the city every year who besides
studies are in search for recreation. Also tourists to the UK come and visit Manchester.
Furthermore, The football fans designated place to watch football matches of premier league is
the famous manchester united city football stadium. Hence, the tourism, sports and leisure
sector earns high profits from such demand leading to higher employment levels too.
6. How would you expect the economic significance of leisure industries to differ between
the USA, UK, Australia,India ,Saudi Arabia and Nepal ?