Professional Documents
Culture Documents
INTRODUCTION
Tourism plays an important role in the economy of a town, city, province and the
entire country. Yehia, Y. (2019) stated that tourism is vital for the success of many
economies around the world. There are several benefits of tourism on host destinations.
Tourism boosts the revenue of the economy, creates thousands of jobs, develops the
infrastructures of a country, and plants a sense of cultural exchange between foreigners and
citizens.
This study is set to figure out how often tourists visits Barangay Basdiot, Moalboal,
Cebu and how they help the barangay’s economy. The municipality became a tourism hub
in the southern part of Cebu because of its beautiful landscapes, grandeur amenities, and
overflowing natural resources such as beaches, caves, and overlooking sceneries. Aside
from these natural wonders, it cannot be denied that, tourists here in the Philippines mostly
love to do scuba diving or any water activities. Local and foreign tourists share the same
perspective when it comes to a certain place's attractions, mostly for leisure activities.
Tourists are the main pillars of a booming economy of a town or a country. According to
indirectly and directly to the entire economy, such as the erection of new airports that are
Mazimhaka, J. (2006) stated that tourism has often demonstrated its role as a vital tool
in the advancement of economies through direct domestic and foreign exchange earnings
In view of the above statements, the researchers want to determine the economic
impact of domestic tourism industry in Barangay Basdiot, Moalboal, Cebu and how the
Theoretical Background
This study is anchored on the Multiplier Effect, a theory put forth by economist John
Maynard Keynes during 1930s to explain how changes in expenditure can have a magnified
impact on overall economic activity, serves as the foundation for this investigation. This
theory's central tenet is that an initial infusion of spending into an economy can trigger
additional rounds of expenditure, which in turn can have a cascading effect that magnifies
the initial impact. When domestic travelers spend money in a particular area on lodging,
dining, travel, souvenirs, and other products and services, it creates new demand for local
goods and services. The local companies and people who supply the goods and services
profit from the money that tourists spend. These companies and the locals can then use this
money for investments or personal pleasure. The money stays in the local economy as it is
spent by local companies and citizens on a range of goods and services in the area. Every
time money is spent, it creates revenue for new companies and people. The multiplier effect
is at work when initial expenditure spurs subsequent spending rounds. Spending has a
multiplier effect on its initial infusion because it encourages additional and consumption
3
as each round of spending produces money for others. The multiplier effect causes the
region's economy to grow. Higher levels of employment, income, and other economic
indicators result from this increased economic activity. The multiplier effect generally has
the effect of starting an upward spiral in economic growth. The first expenditure made by
visitors starts a domino effect of income and spending creation that propels the local
economy's growth and development. To summarize, the Keynesian multiplier effect idea
posits that domestic tourism expenditures can exert a noteworthy influence on the local
economy by incentivizing additional rounds of spending and creating revenue and job
opportunities for both local firms and residents. Through this process, the region's economy
LEGAL BASIS
Level of Contribution
Baseline Information
In comparison to the initial tourist spending, the multiplier itself represents the entire
impact on GDP and is greater than 1. The marginal propensity to consume (MPC), which
gauges how much people spend of every extra dollar they make, is a determining factor in
this equation. An increased MPC results in a greater multiplier since every spending cycle
generates additional revenue for the economy. In locations with a high volume of visitors
and a wide range of attractions, the multiplier impact may be substantial. Spending by
addition to lodging and dining. This diversity increases the impact and broadens the ripple
effect, affecting more companies and people. Measuring not just the amount spent by
tourists but also their subsequent rounds is necessary to determine the economic impact.
The multiplier effect is seen when methods such as input-output analysis are used to
monitor the movement of money across several industries. Furthermore, the influence on
employment, income, and tax revenue can be estimated using surveys and economic
modeling. Tourism locations can optimize their economic gains by comprehending the
multiplier effect. The ripple effect can be amplified and more economic success can be
local sourcing, and marketing vacation packages that distribute spending across industries.
Recall that there are other economic concepts, not just the multiplier effect. A thorough
In connection, utilizing this theory in the vast landscapes and high economic status of
Moalboal, Cebu wherein diving has been an essential part of its booming status. Located
6
in Indo-Pacific's Coral Triangle and boasting over 7,000 islands, the Philippines is home
to some of the world's best scuba diving. With pristine coral reefs, lush coral gardens, huge
schools of fish, rare critters, manta rays, and even whale sharks (Betty, R. 2019).
Scuba diving tourism in Moalboal has the potential to be a sustainable source of income
for a developing municipality. Moalboal is at the heart of marine bio-diversity in Cebu and
its healthy reefs and steep walls support schools of snappers, jacks, barracudas, sardines,
reef sharks, tuna, turtles and many more. The town is one of the prime diving destinations
in the Philippines with its warm waters and rich marine life. When used to domestic
tourism in popular travel locations, it highlights the potential economic boom that goes
beyond visitor expenditure. Imagine there is a surge of visitors who spend money on dining
establishments, lodging, and mementos. These companies utilize their newly acquired
revenue to fund renovations, purchase supplies, and pay staff. Employees who earn more
money spend it on fun and necessities, which helps businesses grow and creates income
for others. This has the effect of creating a ripple effect, whereby each round of spending
sets off a smaller one that follows, increasing the initial infusion of tourists over time.
room rather they ingulf to more activities related to diving. Furthermore, Panagsama Beach
is the site of Moalboal's famous Sardine Run, a massive sardine bait ball that is seen by
visitors from all over the world. This is probably due to the fact that most guests spend
their time outside of the rooms—at the white sand beaches, swimming, diving, and seeing
the sardines in Panagsama, among other local tourist attractions. Millions of sardines are
estimated to reside here. Pescador Island offers some of the best dives in the Philippines,
featuring a dramatic wall with colorful soft corals teeming with anthias. Then there is a
7
large cathedral on the west side of Pescador which makes a nice background for dramatic
underwater shots. You can also see schools of barracuda, beautiful caves, reef sharks, and
also smaller marine life like nudibranchs and frogfish. Other great sites include Talisay
Wall, a beautiful slope and wall with plenty of caves to explore, lots of black coral, batfish
and barracuda, and Tuble Reef which is known for its caves and forest of sea fan corals.
Since the 1970s, Moalboal has developed a tourism industry based on recreational
diving and beaches. Panagsama Beach located in Basdiot is where most resorts and
restaurants are established, while further north on the peninsula, in Saavedra, is White
dwindling resources from both the land and sea. Revenue generated through user-fee
systems has begun to influence and shape the local-broker-tourists’ interactions in the
municipality of Moalboal due to marine tourism that has begun to exert influence of MPAs
Theory of Multiplier Effect, it can be noted that tourist arrivals in Basdiot, Moalboal were
not purely for fun alone rather it advocates for the experiences that these particular places
can offer. With its growing business population including resorts, restaurants, diving
schools, party sites, and other services that satisfy clients’ needs and wants, it is undeniable
fact that tourists will always find comfort in Basdiot, Moalboal. Meaning to say, the more
they experience the tranquility of the place, the more they spend for accommodation and
8
food, the higher the chances of income and revisitation generating higher annual income
which as well make the business owners, entrepreneurs, small-big scale enterprises to
Furthermore, the law Republic Act 9593, otherwise known as the tourism act of 2009,
importance.” In the law, tourism is seen as an industry that must be harnessed to stimulate
and employment. The main objective of the law is to strengthen the Department of Tourism
(DOT) and its attached agencies to efficiently and effectively implement tourism in the
Philippines. The DOT is the authority in charge of product development, regulating and
monitoring and stimulating investments of the tourism sector. A key agency which is a
government owned and controlled corporation and is an innovative feature of the new law
is the creation of the Tourism Infrastructure and Enterprise Zone Authority (TIEZA) in
place of the old Philippine Tourism Authority (RA 9593, Ch 1 Sec 4h). The TIEZA major
role is according to Sub Chapter IV b, Sec 64, as a body corporate which shall designate,
regulate and supervise the Tourism Enterprise Zones (TEZ), as well as develop, manage
and supervise tourism infrastructure projects in the country. TIEZA‟s mandates include
tourism promotion and assistance for LGUs who successfully implement their tourism
development plans. The TEZ are satellites of TIEZA that oversees tourism in their specific
scope of areas. Tourism enterprise that registers and chose to be a part of TEZ, enjoy fiscal
incentives (e.g. tax break and non-tax importation incentives) and non-fiscal incentives
(e.g. special investors resident visa, lease and land ownership, foreign exchange currency
9
transactions, etc.). The establishment of TIEZA created the policy environment which
provides the infrastructure investments of the government. The focus in stimulating foreign
enterprises. The TIEZA mandate of establishing TEZs largely favors the formal or 9
mainstream tourism enterprise operators versus the informal sector where most of the poor
are engaged. With a focus on infrastructure, communities may lose access to their natural
assets and may eventually be excluded from tourism areas or relegated to mere employees
of large tourism investors, who may meet the requirements as TEZ operators. It has become
a clash between bed and breakfast versus five-star accommodation, adventure tourism
versus all-inclusive packages, community tourism versus enclave tourism, among others.
Incorporating strategies that promote domestic local tourism, whose standards may not be
comparable to that of the international tourist, must be considered in the overall concept of
the tourism sector to allow maximum participation of the communities. In order for this to
happen, local communities must participate in the planning of policies and have secure
THE PROBLEM
This study aims to investigate the economic impact of domestic tourism of Barangay
1.1 Age;
1.2 Gender;
Hypotheses
Local Residents. The result of this study will provide additional information for the
local residents on why domestic tourism gives an impact to improvement of their locality.
11
Tour Guides. This study will provide the tour guides more additional information
about the Barangay Basdiot and how they will engage more tourists to visit.
Business Owners. Through this study, they will have an idea on how to discover
new ideas on what are other types of businesses they can accommodate to the local and
foreign guests.
Local Government Units. This will help the local government units on which are
the best ways for improving one’s own economy through tourism related studies.
Students. This study will provide the students an additional knowledge about how
Teachers. The study will help them aid the students on the insights for the economy
and how they will improve their studies for providing better tourism related activities.
Future Researchers. The result of this study will help future researchers pursue
further studies on how domestic tourism give a huge impact of a local economy.
RESEARCH METHODOLOGY
Design
The method that will be used in this study is descriptive-normative research design
wherein the researchers perform the process of gathering, analyzing, and interpreting
information to make inferences and reach conclusions. It also involves recording, analysis
and interpretation of the data. Descriptive research design is a powerful tool used by
This type of research provides a detailed and accurate picture of the characteristics and
topic, descriptive research helps researchers gain a deeper understanding of a specific issue
and provides valuable insights that can inform future studies. (Omair, A. 2015)
This study will utilize the researcher-made questionnaires as the main tool of
gathering data. It will be distributed to 50 respondents broken down into 30 local residents,
10 business owners, and 10 tour guides. After the retrieval of the questionnaires, the data
will be tabulated, analyzed, and interpreted using simple percentage and ANOVA in order
flow of the study. The input includes level of contribution and benefits of domestic tourism
The process includes gathering of data on the mentioned areas will be tabulated,
computed, and interpreted utilizing simple percentage and weighted mean, and ANOVA.
INPUT
-age
-gender
PROCESS
Transmittal Letter
-Tabulated
-Computed
-Analyzed, and
Interpreted using the statistical treatment including;
-Simple Percentage
-Weighted Mean
-ANOVA
OUTPUT
BASELINE INFORMATION
Environment
population of 6,867 residents which is the most populous barangay in the Municipality of
Moalboal. It is also the barangay where the main tourist attractions are located such as the
Panagsama Beach and Pescador Island that is famous for scuba diving. The area is famous
for nightly activities concentrated along the Panagsama road that is connected to the beach.
This is also the place where several business establishments are located such as hotels,
Respondents
Moalboal, Cebu.
Table 1
Distribution of Respondents
Total 50 100%
Table 1 presents the distribution of respondents. It is clearly shown that there are 50
Cebu; thirty (30) or 60% are random local residents, 10 or 20% are random business
Instrument
by the respondents regarding the evidences of the economic impact of domestic tourism in
the locality. Respondents will be with the questionnaires with 10 questions on economic
impact of domestic tourism based on a 5-point Likert Scale where 1 represented “never”
and 5 represented “contributed very much”. Respondents will rate the level of contribution
composed of two (2) parts; Part I, deals on the respondents profile as to age, gender,
combines monthly income, and how often these tourists’ visit Basdiot, Moalboal. Part II,
To realize this study, the researchers will ask permission to Municipal Mayor. After
which, the researchers asked permission to the Barangay Captain of Basdiot in the
Municipality of Moalboal for the approval to conduct this study. Once approved, the
researchers will distribute printed survey questionnaires for the respondents with their
consent. To ensure reliable results, respondents will be given enough time to read and
answer. The researchers will then collect the questionnaire from the respondents after they
finished answering.
17
Treatment of Data
The data gathered will be analyzed and interpreted statistically with the following
tools:
f is the frequency
Cebu
Σ the summation
f is the frequency
Scoring Procedure
To interpret the respondents level of agreement with each of the item described
Cebu, the 5-point Likert scale was made and used in interpretation of data based on the
DEFINITION OF TERMS
The terms used in this study were operationally defined as stated below.
backgrounds trade ideas, feelings, stories and customs. In this study, it caters to the culture
of the people of Basdiot, Moalboal, Cebu and the domestic tourists that may visit their
place.
traveling within their own country. It does not involve the crossing of international borders
at entry points.
Economic Impact of Tourism. The positive and negative impacts of tourism that
affects the economy of the certain locality. Positive impacts; economic boost, infrastructure
the production and consumption of goods and services. In this study, this refers to the status
and the income generated by the respondents out of the established livelihood created based
natural environments, intended to support conservation efforts and observe wildlife which
includes different species of coral reefs, sardines, turtles, and marine sanctuaries.
Infrastructures. This refers to the system of public works of a city, state, region
or country. Due to the visit of tourists in Basdiot, Moalboal, the local government has done
and may do more in exerting efforts to influence the roads from the town to the barangay
roads.
Scuba Diving. This is a mode of underwater diving whereby divers use breathing
equipment that is completely independent of a surface air supply, and therefore has a
limited but viable endurance. This is one of the tourist attractions in Basdiot, Moalboal,
BIBLIOGRAPHY
22
BIBLIOGRAPHY
Añonuevo, K. (2023), Best Cebu Tourist Spots Guide 2023. Travel Cebu. A.S. Fortuna St.,
Banilad, Mandaue City, Cebu +63 456 300 3668. Retrieved from
https://www.travelcebu.ph/blog/cebu-tourist-spots-guide/
Ecarma, L. (2021), A Year Into the Pandemic, Moalboal Stirs Back to Life. Rappler Inc.
Unit B, 3/F, North Wing, Estancia Offices, Capitol Commons, Ortigas Center,
Pasig City 1605. Retrieved from https://www.rappler.com/life-and-
style/travel/tourism-beach-town-moalboal-cebu-covid-19-pandemic/
Fletcher, J. (2019), Positive and Negative Impacts of Tourism in the Economy. Positive
Negative Impact. Retrieved from https://positivenegativeimpact.com/tourism-on-
the-economy?
Juan, A. (2020), The Amazing Marine Life of the Philippines. PADI (Professional
Association of Diving Instructors). Level 4, 123 Old Pitwater Road, Brookvale,
Australia. +612 9454 2999. Retrieved from https://blog.padi.com/the-amazing-
marine-life-of-the-philippines/
Omair, A. (2015), Selecting the Appropriate Study Design for your Research: Descriptive
Study Designs. Journal of Health Specialties, 3(3), 153
https://scholar.google.com/scholar?/descriptive+research+des/Ascholar.google.co
mn
Sam, et al. (2021), Tourism in Moalboal. Cebu City Tour and Packages (63) 917 155 0989.
Retrieved from https://www.cebucitytour.com/moalboal-cebu
APPENDICES
25
Appendix A
TRANSMITTAL LETTER
February, 2024
Sir,
In this connection, the researchers would like to ask permission from your good
office to conduct the study at Basdiot, Moalboal, Cebu. Rest assured that all data
Respectfully yours,
The researchers,
Noted by:
TRANSMITTAL LETTER
February, 2024
Sir,
In this connection, the researchers would like to ask permission from your good
office to conduct the study at Basdiot, Moalboal, Cebu. Rest assured that all data
Respectfully yours,
The researchers,
Noted by:
Appendix B
Dear Respondents,
Greetings!
To make this study possible, we need your honest responses on the following
questions with regard to the study. Rest assured that all responses collected will be
treated with confidentiality as no one except us will utilize the data to be obtained from
this understanding.
Respectfully yours,
DENNIS AMORADO
CHARLYN O. COMIGHUD
NELSIE G. JADRAQUE
JEM B. JEMOYA
Appendix C
SURVEY QUESTIONNAIRE
Part I. Profile of Respondents: Place a check ✓ mark in the line before your answer.
1.1 Age
_____ 15 and below
_____ 16-25 years old
_____ 26-35 years old
_____ 36-45 years old
_____ 46 and above
1.2 Gender
_____ Male
_____ Female
1.3 Combined Monthly Income
_____ ₱50,000.00 and above
_____ ₱40,000.00-₱49,000.00
_____₱30,000.00-₱39,000.00
_____₱20,000.00-₱29,000.00
_____₱19,000.00 and below
_____ Always
_____ Oftentimes
_____Sometimes
_____Rarely
_____In occasion only
29
Part II.
Directions: Please rate your perception on the level of contribution with each of these
statements regarding the Economic Impact of Domestic Tourism in Barangay Basdiot in
Moalboal, Cebu. Place a check ✓ mark according to the level of contribution as indicated
below.
5 4 3 2 1
Contributed Contributed Contributed Slightly Never
Very Much Much Contributed
1.The tourists help sustain
my income.
2.The tourists gave me more
opportunities and ideas for
my livelihood.
3.The tourists help the town
on generating more income.
4.The tourists contributed
the increase of business
establishments.
5.The tourists are responsible
for dozens of jobs
6.The tourists contribute to
the income business
establishments.
7.The tourists are responsible
for the increase of the
standards of living.
8.The tourists contribute to
the creation of infrastructure
utilities.
9.The tourists help increase
the income on preservation
of facilities
10.The tourists help increase
investment of the town for
useful environmental actions
and initiatives.
Remarks:
________________________________________________________________________
________________________________________________________________________
____________
30
CURRICULUM VITAE
Personal Information
Nationality : Filipino
Sex : Male
Father : (Deceased
Moalboal Cebu
2020-2021
2009-2010
31
CURRICULUM VITAE
Personal Information
Nationality : Filipino
Sex : Female
Moalboal Cebu
Busay ,Moalboal,Cebu
2018-2019
Busay, Moalboal,Cebu
2012-2013
32
CURRICULUM VITAE
Personal Information
Nationality : Filipino
Sex : Female
Moalboal Cebu
2018-2019
2011-2012
33
CURRICULUM VITAE
Personal Information
Nationality : Filipino
Sex : Female
Moalboal Cebu
2008-2009
2004-2005
34
CURRICULUM VITAE
Personal Information
Nationality : Filipino
Sex : Female
Educational Attainment
2020-2021
2014-2015
35
CURRICULUM VITAE
Personal Information
Nationality : Filipino
Sex : Male
Moalboal Cebu
2020-2021
2014-2015