Economics Application & Appraisal of tourism in India

Abstract

The paper discusses about the tourism industry in India. It is a fact that Tourism in India is recognized as one of the largest growing service sector Industry. More than 5 millions of foreign and about 550 millions of domestic tourists visit annually many attractive tourist spot situated at different states in India generating foreign currencies at the annual rate of nearly 9% strengthening India's economy in foreign exchange. Tourism revenue in India grew 23 percent in the last year, which continues the upward trend in this sector. Thus, the tourist activities and numbers in India suggest a highly optimistic scenario. The phase between 2008 -2009 is successfully mediated with the industry initiatives and focused policy interventions, which in turn adds the momentum for the growth process.

Economics Application & Appraisal of tourism in India

Introduction

Tourism has significant economic importance. It is estimated that the sector's revenues are even higher than in the automotive industry or the oil. Given this fact, talk of economic costs may seem counterintuitive. However, as in any financial activity, we will find that some of the effects of tourism can result in negative economic impacts. These costs are necessarily linked to environmental costs and social costs (Wilkerson, 2011).

According to the definition of ' World Tourism Organization (World Tourism Organization, specialized agency of the United Nations), a tourist is one who travels in countries other than his residence and outside of their everyday environment, for a period of at least one night but not exceeding one year and whose usual purpose is different from the exercise of any gainful activities within the country visited. This term includes those who travel: leisure, rest and vacation, visiting friends and relatives, for business reasons and professional, for health reasons, religious/pilgrimage, and more.

Tourism may be defined as travelling for the purpose of leisure and fun. According to the World Tourism Organization, "Travel to and stay in places outside their usual environment for not more than one consecutive year for leisure, business and other purposes" (Cooper et al, 2001: 25). Over the years, the tourism industry has developed quite significantly. In today's age of stress and disorder, more and more people are taking frequent, longer holidays and exploring new destinations owing to reasons discussed hereunder

Tourism in India

India, the land of civilization and traditional costumes which dazzle visitors bright colours and exquisite beauty, wonderful, spectacular scenery and visitors admire the forms here and there are different situations wonderful beautiful beaches lined coconut trees and a great mosques and the effects of the Mongol era (Ritchie & Mario, 2011).

The tourism industry in India is doing well. Over the years, the country has seen an increase in the number of domestic and international tourists. This increase is the result of the government's attention to the sector which is one of the major contributors to the country's Gross Domestic Product (GDP). The country remains a destination of choice not only for the leisurely travellers but also for the business ...