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Tourism Development As a Resident-Tourist Exchange Process: an Economic Theoretic Interpretation

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Best Practices in Hospitality and Tourism Marketing and Management

Part of the book series: Applying Quality of Life Research ((BEPR))

Abstract

Many attemps have been made to theoretically base research in tourism development. However, a discernible bias towards residents’ perceptions exists. Since tourism involves the meeting of (at least) two populations, residents’ perception ha to be analysed as part of an exchange process where hosts and guests are both considered. This paper presents and partially develops the Exchange Economic Model implemented by Bimonte and Punzo (Tour Manage 55:199–208, 2016) to investigate the possible scenarios and dynamics that tourism development may imply. The theoretical framework takes an economic perspective and assumes that agents’ preferences are endogenous. This means that the population’s interactions and experiences influence guests’ and/or hosts’ attitudes and opinions, which may in turn cause structural changes in individuals’ preferences. As a consequence, populations may split and inter- and/or intra-community conflict may arise that affects individual quality of life (QOL). The paper addresses this issue theoretically, suggesting some possible solutions.

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Notes

  1. 1.

    An example is what is happening in Barcelona. Groups of residents are joining forces to protest over soaring rents fuelled by the big rise in visitor numbers (The Guardian, Juanuary, 29th, 2017).

  2. 2.

    Readers interested in a more technical analysis are referred to Bimonte and Punzo’s (2016) paper and any microeconomics textbook, for example Katz and Rosen (1998) and Varian (2010).

  3. 3.

    For a survey and more detailed analysis see Monterrubio-Cordero (2008)

  4. 4.

    WTP (WTA) is the maximum (minimum) payment (compensation) an individual is willing to pay (accept) for a change that leaves her/him just as well off as before (Bellinger 2007; Perman et al. 2011)

  5. 5.

    Note that this is not a case of dynamically incoherent preferences but simply of a change in preferences.

  6. 6.

    This phenomenon is widely analysed in behavioral and neuro economics.

  7. 7.

    We assume that the bundle of resources can be quantified by a single indicator and can be put on a single axis of our model. There is no need to complicate the picture to drive our message home.

  8. 8.

    In the case of destinations characterized by the truck effect, the opposite would be true.

  9. 9.

    For more elaboration of these aspects, see Bimonte and Punzo (2007).

  10. 10.

    This could be represented by means of a modified Edgeworth Box.

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Authors and Affiliations

  1. Department of Economics and Statistics, University of Siena, Siena, Italy

    Salvatore Bimonte

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  1. Salvatore Bimonte
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Correspondence to Salvatore Bimonte .

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Editors and Affiliations

  1. School of Business, Finance and Tourism, University of Extremadura, Cáceres, Spain

    Ana María Campón-Cerro , José Manuel Hernández-Mogollón  & José Antonio Folgado-Fernández ,  & 

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Bimonte, S. (2019). Tourism Development As a Resident-Tourist Exchange Process: an Economic Theoretic Interpretation. In: Campón-Cerro, A.M., Hernández-Mogollón, J.M., Folgado-Fernández, J.A. (eds) Best Practices in Hospitality and Tourism Marketing and Management. Applying Quality of Life Research. Springer, Cham. https://doi.org/10.1007/978-3-319-91692-7_4

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  • DOI: https://doi.org/10.1007/978-3-319-91692-7_4

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