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STUDY ON THE ECONOMIC IMPACT OF TOURISM AND OF

AGROTOURISM ON LOCAL COMMUNITIES

Two major mistakes were made in analyzing the economic impact of tourism,
particularly agrotourism. The focus was solely on tourism income and job
creation, ignoring the broader effects on macroeconomic contexts such as
trade liberalization and tax pressure on families. The existence of a "gray
economy" makes it difficult to determine the exact share of tourism,
including agrotourism, in Romania and elsewhere. The prevalence of
unlicensed accommodations and tax evasion further complicates the
situation. In Greece, this type of tourism accounted for 29% of GDP in the
late 20th century. Understanding the economic impact of agrotourism
requires considering the number and origin of foreign tourists, as their
spending contributes to local prosperity and living standards.

Tourism is often in the hands of some foreign private sector interest


groups whose sole purpose is financial gain, which actually increases the
level of poverty rather than reducing it. by increasing costs. The Institute
for the Development of Foreigners has included "tourism for children" on
the agenda of the UN Commission on Sustainable Development and has
defined it as "tourism that results in increased net benefits for the poor,
generally (but not exclusively) in ongoing developing countries." Financial
analysis must be carried out to obtain benefits from tourism activity, it
decide.

The conclusion of the text is that to maximize the benefits of agrotourism


it is important to combine economic analysis and ensure that tourism
activity is closely linked to the local economy. This is because when tourism
is “local,” it has a greater direct economic impact by creating additional
jobs and income through the support of local businesses and vendors

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