Contribution of Tourism and Hospitality to GDP

Description: This quiz aims to assess your understanding of the contribution of tourism and hospitality to GDP. The questions cover various aspects such as the direct, indirect, and induced impacts of tourism, the role of tourism in employment generation, and the significance of tourism in the overall economic development of a country.
Number of Questions: 14
Created by:
Tags: tourism hospitality gdp economic impact
Attempted 0/14 Correct 0 Score 0

What is the primary contribution of tourism and hospitality to GDP?

  1. Direct Employment

  2. Indirect Employment

  3. Induced Employment

  4. Tax Revenue


Correct Option: A
Explanation:

Tourism and hospitality directly contribute to GDP through the employment of individuals in various sectors such as hotels, restaurants, transportation, and attractions.

How does tourism and hospitality indirectly contribute to GDP?

  1. Increased Demand for Goods and Services

  2. Improved Infrastructure

  3. Foreign Exchange Earnings

  4. Investment in Tourism-Related Projects


Correct Option: A
Explanation:

Tourism and hospitality indirectly contribute to GDP by stimulating demand for goods and services from other industries, such as agriculture, manufacturing, and retail.

What is the term used to describe the economic activity generated by spending on tourism and hospitality?

  1. Tourism Multiplier Effect

  2. Hospitality Multiplier Effect

  3. Travel Multiplier Effect

  4. Economic Multiplier Effect


Correct Option: A
Explanation:

The tourism multiplier effect refers to the additional economic activity generated in an economy as a result of spending on tourism and hospitality.

Which of the following is not a direct impact of tourism and hospitality on GDP?

  1. Hotel Accommodation Revenue

  2. Restaurant Revenue

  3. Transportation Revenue

  4. Souvenir Sales Revenue


Correct Option: D
Explanation:

Souvenir sales revenue is an indirect impact of tourism and hospitality on GDP, as it is generated from spending on goods and services that are not directly related to tourism and hospitality activities.

How does tourism and hospitality contribute to employment generation?

  1. Direct Employment in Tourism and Hospitality Sector

  2. Indirect Employment in Supporting Industries

  3. Induced Employment in Other Sectors

  4. All of the Above


Correct Option: D
Explanation:

Tourism and hospitality contribute to employment generation through direct employment in the tourism and hospitality sector, indirect employment in supporting industries, and induced employment in other sectors.

Which of the following is not a positive impact of tourism and hospitality on GDP?

  1. Increased Foreign Exchange Earnings

  2. Job Creation

  3. Improved Infrastructure

  4. Environmental Degradation


Correct Option: D
Explanation:

Environmental degradation is a negative impact of tourism and hospitality, as it can lead to pollution, resource depletion, and habitat destruction.

What is the significance of tourism and hospitality in the overall economic development of a country?

  1. Contributes to GDP

  2. Generates Employment

  3. Promotes Cultural Exchange

  4. All of the Above


Correct Option: D
Explanation:

Tourism and hospitality contribute to the overall economic development of a country by contributing to GDP, generating employment, and promoting cultural exchange.

How can the contribution of tourism and hospitality to GDP be maximized?

  1. Invest in Tourism Infrastructure

  2. Promote Sustainable Tourism Practices

  3. Develop Tourism Marketing Strategies

  4. All of the Above


Correct Option: D
Explanation:

The contribution of tourism and hospitality to GDP can be maximized by investing in tourism infrastructure, promoting sustainable tourism practices, and developing tourism marketing strategies.

Which of the following is not a challenge faced by the tourism and hospitality industry in contributing to GDP?

  1. Seasonality

  2. Economic Downturns

  3. Political Instability

  4. Technological Advancements


Correct Option: D
Explanation:

Technological advancements are not a challenge faced by the tourism and hospitality industry in contributing to GDP, but rather an opportunity to improve efficiency and enhance the overall tourism experience.

What is the role of government policies in promoting the contribution of tourism and hospitality to GDP?

  1. Developing Tourism Infrastructure

  2. Providing Financial Incentives

  3. Promoting Sustainable Tourism Practices

  4. All of the Above


Correct Option: D
Explanation:

Government policies can promote the contribution of tourism and hospitality to GDP by developing tourism infrastructure, providing financial incentives, and promoting sustainable tourism practices.

How can tourism and hospitality contribute to the development of rural areas?

  1. Creating Employment Opportunities

  2. Promoting Cultural Heritage

  3. Encouraging Infrastructure Development

  4. All of the Above


Correct Option: D
Explanation:

Tourism and hospitality can contribute to the development of rural areas by creating employment opportunities, promoting cultural heritage, and encouraging infrastructure development.

What is the relationship between tourism and hospitality and other sectors of the economy?

  1. Complementary

  2. Competitive

  3. Independent

  4. Neutral


Correct Option: A
Explanation:

Tourism and hospitality have a complementary relationship with other sectors of the economy, as they rely on each other for goods and services.

How can tourism and hospitality contribute to poverty reduction?

  1. Creating Employment Opportunities

  2. Promoting Entrepreneurship

  3. Encouraging Investment in Infrastructure

  4. All of the Above


Correct Option: D
Explanation:

Tourism and hospitality can contribute to poverty reduction by creating employment opportunities, promoting entrepreneurship, and encouraging investment in infrastructure.

What are some of the key challenges faced by the tourism and hospitality industry in contributing to GDP?

  1. Seasonality

  2. Economic Downturns

  3. Political Instability

  4. All of the Above


Correct Option: D
Explanation:

The tourism and hospitality industry faces several challenges in contributing to GDP, including seasonality, economic downturns, and political instability.

- Hide questions