4 ms·

Don't forget that resorts et al typically belong to international capital, and the tourists rarely leave the premises. So what does the local economy get out o

Don't forget that resorts et al typically belong to international capital, and the tourists rarely leave the premises. So what does the local economy get out of it? A few maids salary to clean up the tourist's shit?

dominotw 4mo ago
what about tax revenue ?
- whatever1 4mo ago
  Most resorts secure favorable tax deals directly from the central governments before they invest, accompanied by public announcements in the media about success of government in attracting international investments. So no tax the locals. During the construction phase there is some legitimate economy uplift (similar to datacenters). But after that nothing.
  - dominotw 4mo ago
    > Most resorts secure favorable tax deals directly from the central governments before they invest, accompanied by public announcements in the media about success of government in attracting international investments. is this just pure old corruption. govt not working for ppl stuff.
    - bcrosby95 4mo ago
      This happens, publicly, in the US, all the time. Megacorps like Amazon regularly pit cities and states against each other for what you're calling plain old corruption.
      - joquarky 4mo ago
        A more common example is sports stadiums.
- Tangurena2 4mo ago
  "Big money" tends to extort the same sort of tax deals that American sports stadiums get: they get huge tax breaks and while the registers at the stadium look like they're charging sales tax, that money goes directly to the stadium owners, not the government. Sometimes these deals are called "special economic zone".
- woodpanel 4mo ago
  Tax revenue, local jobs, and the possiblity for entrepreneurs to build businesses around that possibility of tourists leaving the premise. With all that being said, I still think that overreliance on tourism is bad for a place in principle. Those places fossilize, the wealth of tourists overwhelmes local culture, it will create wrong incentives, draw in junk vendors, pick-pocketers, and AirBnB vultures making life more miserable for the locals. One can also be certain that the local hospitality operators will try to pass the least possible amount to locals by finding even cheaper employees from god knows where.
  - PearlRiver 4mo ago
    The Netherlands prides itself on its coastline and dunes but by the time mass tourism arrived the country was already rich. The secret ingredient is always money. Spain looks the way it does because that country was desperate for foreign currency and jobs in the 60s and 70s. Economic development is hard and Albania does not have much going for it unfortunately.
    - woodpanel 4mo ago
      Exactly, it’s why tourists flock to Manhattan, while the city isn’t getting dominated by that industry. Your trip doesn’t outcompete locals, but the local economy makes it a rather expensive trip.
- hedora 4mo ago
  I challenge you to find a single example anywhere on earth where redistribution of foreign tax revenue significantly improved the economic standing of the existing general population.
  - BobaFloutist 4mo ago
    I don't know the details of the economics, but Costa Rica seems to be doing quite well with ecotourism, no?
hammock 4mo ago
> Don't forget that resorts et al typically belong to international capital. What does the local economy get out of it? Same goes for any natural resource. Oil, precious metals, water, etc. Globalization feeds this behavior, but that’s a conversation people don’t usually want to have
- Avicebron 4mo ago
  [flagged]
- dzhiurgis 4mo ago
  Whats a fair share then? Should investors just return all profits to host country out of their kindness of their hearts?
  - 6P58r3MXJSLi 4mo ago
    > Whats a fair share then? I thought it was implied in the question "What does the local economy get out of it?" A fair share is when the local economy gets out of it what the local economy needs/wants.
  - thrance 4mo ago
    0%? Foreign corporations should probably not be able to bribe their ways into getting unlimited concessions: that's imperialism.
- sofixa 4mo ago
  > Same goes for any natural resource No, in most cases the contract stipulates profit/revenue sharing. E.g. Orano's uranium mines in Niger had 50% of all revenues going to the Nigerien government. In other cases it's much lower (e.g. Dundee Precious Metals in Bulgaria pay 10% of profits to the state).
  - hammock 4mo ago
    Imagine thinking you can build an all inclusive resort or other 8fig+ development in a foreign backwater and NOT kick back revenues to the local mafia. Couldn’t be me. Good luck with that Even Zuckerberg paid in an extra 10% ($20 million)over and above his land costs to fund affordable housing, conservation and a jobs program in Kauai to get the deal done
1234letshaveatw 4mo ago
such a stark contrast with all the hysteria over foreign tourists avoiding the US due to Trump that was posted here a few days ago. "Oh noes Trump is destroying the tourist economy!!!" vs. "only a few maids salary to clean up the tourist's shit"
- filleduchaos 4mo ago
  Do you unironically think that all tourism is resort tourism?
  - 1234letshaveatw 4mo ago
    Do you unironically think that all resort tourism related jobs are maids?

dominotw 4mo ago

what about tax revenue ?

whatever1 4mo ago
Most resorts secure favorable tax deals directly from the central governments before they invest, accompanied by public announcements in the media about success of government in attracting international investments. So no tax the locals. During the construction phase there is some legitimate economy uplift (similar to datacenters). But after that nothing.
- dominotw 4mo ago
  > Most resorts secure favorable tax deals directly from the central governments before they invest, accompanied by public announcements in the media about success of government in attracting international investments. is this just pure old corruption. govt not working for ppl stuff.
  - bcrosby95 4mo ago
    This happens, publicly, in the US, all the time. Megacorps like Amazon regularly pit cities and states against each other for what you're calling plain old corruption.
    - joquarky 4mo ago
      A more common example is sports stadiums.
Tangurena2 4mo ago
"Big money" tends to extort the same sort of tax deals that American sports stadiums get: they get huge tax breaks and while the registers at the stadium look like they're charging sales tax, that money goes directly to the stadium owners, not the government. Sometimes these deals are called "special economic zone".
woodpanel 4mo ago
Tax revenue, local jobs, and the possiblity for entrepreneurs to build businesses around that possibility of tourists leaving the premise. With all that being said, I still think that overreliance on tourism is bad for a place in principle. Those places fossilize, the wealth of tourists overwhelmes local culture, it will create wrong incentives, draw in junk vendors, pick-pocketers, and AirBnB vultures making life more miserable for the locals. One can also be certain that the local hospitality operators will try to pass the least possible amount to locals by finding even cheaper employees from god knows where.
- PearlRiver 4mo ago
  The Netherlands prides itself on its coastline and dunes but by the time mass tourism arrived the country was already rich. The secret ingredient is always money. Spain looks the way it does because that country was desperate for foreign currency and jobs in the 60s and 70s. Economic development is hard and Albania does not have much going for it unfortunately.
  - woodpanel 4mo ago
    Exactly, it’s why tourists flock to Manhattan, while the city isn’t getting dominated by that industry. Your trip doesn’t outcompete locals, but the local economy makes it a rather expensive trip.
hedora 4mo ago
I challenge you to find a single example anywhere on earth where redistribution of foreign tax revenue significantly improved the economic standing of the existing general population.
- BobaFloutist 4mo ago
  I don't know the details of the economics, but Costa Rica seems to be doing quite well with ecotourism, no?

hammock 4mo ago

> Don't forget that resorts et al typically belong to international capital. What does the local economy get out of it? Same goes for any natural resource. Oil, precious metals, water, etc. Globalization feeds this behavior, but that’s a conversation people don’t usually want to have

Avicebron 4mo ago
[flagged]
dzhiurgis 4mo ago
Whats a fair share then? Should investors just return all profits to host country out of their kindness of their hearts?
- 6P58r3MXJSLi 4mo ago
  > Whats a fair share then? I thought it was implied in the question "What does the local economy get out of it?" A fair share is when the local economy gets out of it what the local economy needs/wants.
- thrance 4mo ago
  0%? Foreign corporations should probably not be able to bribe their ways into getting unlimited concessions: that's imperialism.
sofixa 4mo ago
> Same goes for any natural resource No, in most cases the contract stipulates profit/revenue sharing. E.g. Orano's uranium mines in Niger had 50% of all revenues going to the Nigerien government. In other cases it's much lower (e.g. Dundee Precious Metals in Bulgaria pay 10% of profits to the state).
- hammock 4mo ago
  Imagine thinking you can build an all inclusive resort or other 8fig+ development in a foreign backwater and NOT kick back revenues to the local mafia. Couldn’t be me. Good luck with that Even Zuckerberg paid in an extra 10% ($20 million)over and above his land costs to fund affordable housing, conservation and a jobs program in Kauai to get the deal done

1234letshaveatw 4mo ago

such a stark contrast with all the hysteria over foreign tourists avoiding the US due to Trump that was posted here a few days ago. "Oh noes Trump is destroying the tourist economy!!!" vs. "only a few maids salary to clean up the tourist's shit"

filleduchaos 4mo ago
Do you unironically think that all tourism is resort tourism?
- 1234letshaveatw 4mo ago
  Do you unironically think that all resort tourism related jobs are maids?