Revisiting Tourism Regional Economic Impact: Accounting for Secondary Household Employment

Many argue that tourism development is beneficial for local economies, partly because of spillover effects. Others hold that tourism jobs are lower paying, often seasonal, and can generate a host of social ills with earned income concentrated in low-income households. A Social Accounting Matrix (SAM) of a Pennsylvania region is used to test the impacts of tourism businesses supported by the Progress Fund, a regional Community Development Financial Institution, on household income distribution by incorporating secondary and primary employment based income. Analysis indicates that tourism-oriented activity has relatively large contributions to lower and upper as opposed to middle income households.