Economic impacts of COVID-19 on inbound and domestic tourism

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COVID-19 has led to an unprecedented disruption in tourism spending. This has propagated through the whole economy, however the scale of these system-wide consequences can be hard to quantify. We calculate direct reductions in spending across domestic and inbound tourism categories and then use a computable general equilibrium model to quantify their economic impacts. The results – illustrated using a model for Scotland and focusing on 2021 - demonstrate the scale of the losses in the tourism industry and the economy as a whole that are attributable to changes in both domestic and inbound tourism demand. We find that the extent to which domestic tourism demand can mitigate the losses in inbound spending depends on the composition of demand.
Original languageEnglish
Article number100075
Number of pages36
JournalAnnals of Tourism Research Empirical Insights
Issue number2
Early online date18 Oct 2022
Publication statusPublished - 30 Nov 2022


  • tourism spending
  • Covid-19
  • economic impact
  • CGE modelling
  • Scotland


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