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My own economic interests are around lodging/hospitality/resort type offerings. I do see that; areas whose economy is primarily based on people from cities/tow
by EliRivers 9y ago
My own economic interests are around lodging/hospitality/resort type offerings.
I do see that; areas whose economy is primarily based on people from cities/towns coming to spend their money in that area. I'm sure economists have a term for that; it's not producing "value" (for want of a better term) in the same way that those cities/towns do. It's where some of the "value" produced in those other areas gets spent.
I do need a better term than "value" here. That's not quite the term I mean. Maybe economists have a suitable term for it.
- resu_nimda 9y agoEconomically, if people are choosing to spend their money somewhere, they believe that place is generating an equal amount of value for them. Psychologically, value is totally subjective. You are making a distinction between, I guess, "rural tourism" value and, generally, "things a city does" value, but can you make an objective argument for one over the other? Is there a difference in value-add between a hotel in the city and a bed-and-breakfast in the country? If the rural business makes furniture that people take back to the city, which way is the value going?
- EliRivers 9y agoWhen I spend money, it's not to get equal value. I spend money because what I get for it is worth more to me than the money. Maybe everyone else is swapping money for something of equal value, but I doubt it. People spend money because they value the thing they buy more than the money in their hand.