Abstract
This chapter focuses on poverty elimination through tourism dynamics. The tourism sector, it is argued, offers a well-structured road through which developing countries can both effectively work as an instrument to reduce or even eliminate poverty and enhance the level of economic growth. The proposed hypothesis of tourism expansion-led poverty reduction framework is integrated in a continuum paradigm. As such, a tourism destination needs to harness and manage well the elements of the continuum dynamics of the competitive tourism management framework. As suggested by the overwhelming evidence, socialists, capitalists, communists, developed and developing countries, small islands, and least developed countries have followed the route of tourism as a priority instrument of economic growth and development and compete ferociously in the international market to transport more tourists to their tourism destinations. In tourism, there is no need for tourism negotiations; the borders already have been, still are, and will remain opened up, and with both money and passport, barriers are nonexistent and the dollar is spread all over the geographical configuration of a destination. All these democratize the dollar and build echo back and echo forward linkages of people between the residents of the origin market and the tourism destination.
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Notes
- 1.
As an attempt by the International Monetary Fund (IMF) and the World Bank (WB) to enhance developing countries’ focus of economic growth on poverty, marginal progress has been made in reducing or even eliminating poverty.
- 2.
As defined by the United Nations Conference on Trade and Development (UNCTAD).
- 3.
In the beginning of the 1990s, there were 52 countries classified as LDCs; however, thanks to tourism expansion, two of them have left this infamous list by early 2000s: Botswana and Mauritius. After Cape Verde graduated from LDC status on December 2007, 49 countries remain on this list.
- 4.
To avoid confusion in definitions, developing countries and developing world as defined by the World Bank will be used interchangeably. The UNCTAD’s definition is used when we refer to member countries under the status of LDCs.
- 5.
My own definition goes beyond the welfare and the United Nation Human Development Index. It considers subjective human feelings when he/she gets a job, and income, and contributes to the development of his/her society.
- 6.
The PRSP is the anchor for the IMF, the WB, and the donor community for several financial assistance packages and is also the key condition for receiving debt relief under the Highly Indebted Poor Countries Initiative (HIPC). A number of studies, however, suggest that the development of philosophy, design, practice, and applicability of the PRSP does not live up to the ideals that motivated its creation (Carr 2008; Cheru 2006; Craig and Porter 2003; Dijkstra 2005; Molenares and Renard 2003; Piron and Evans 2004; Vanegas 2005a, b; Whitfield 2005).
- 7.
Calculated using the following exponential equation: Y = αXβTime, where β multiplied by 100 provides the annual average growth rate.
- 8.
Trade barriers and the perennial uncertain world market for agriculture and raw materials, tourism provided a well-structured instrument to enhance the generation of foreign exchange, creation of new jobs, and a platform for economic diversification.
- 9.
The ADB based in Philippines and the IDB based in Washington DC are financial intermediaries owned by both developed and developing countries which provide long-term financing for development within their own region.
- 10.
Author’s own calculations using the WTO new tourism time series database.
- 11.
Tourism development replaced oil refining, stabilized the current account of the Balance of Payments, defeated poverty, and brought full employment by 1992.
- 12.
This country, established its name as the vanguard in green ecotourism.
- 13.
This country improved both its overall food security level and its overall living standards.
- 14.
This country, established its name as the vanguard in Safari and Wildlife.
- 15.
In his dualistic approach, de Kadt did not concentrated on poverty. He recognized the dualistic impacts of tourism expansion: on the one hand, the creation of linkages and opportunities, and on the other, the creation of inequalities.
- 16.
Identify as PPT, it means tourism that generates net benefits for the poor.
- 17.
Identify as PRSP, was introduced as a more participatory, poverty-focused alternative to standard Structural Adjustment Program.
- 18.
Identify as ST-EP.
- 19.
Near 2 years prior to the UN Summit, the WTO became a specialized agency of the United Nations.
- 20.
A critique of UN experience on tourism development, back in 1998: On the above issue and being the United Nations Chief Technical Advisor to the Government of Aruba, I was told by the Minister of Tourism and Economic Affairs, “master plans, studies, and policy advise will not propel tourism. The gulf between access to finance and tourism policy implementation needs to be filled. Look into our experience, poverty is not there.”
- 21.
As a matter of fact, having contributed directly in the preparation of both the Nicaragua Competitiveness Project and the National Development Plan which for the first time hinted the idea about a new route for economic growth does not have or did not receive, directly or indirectly, assigned monies for tourism. Similar evidence (including the IMF and World Bank) has been found in other African, Asian, and Latin American countries (Coyle and Evans 2003; Government of Nicaragua 2001, 2002; International Monetary Fund 2004; McGee et al. 2002; Molenares and Renard 2003; Vanegas 2002, 2005a, b; World Bank 2004).
- 22.
From the freedom to decide perspective.
- 23.
It excludes tourists that use any other means of transportation.
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Vanegas, M. (2012). Poverty Elimination Through Tourism Dynamics. In: Uysal, M., Perdue, R., Sirgy, M. (eds) Handbook of Tourism and Quality-of-Life Research. International Handbooks of Quality-of-Life. Springer, Dordrecht. https://doi.org/10.1007/978-94-007-2288-0_5
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