This report analyzes the environmental impacts of the tourism industry, which is the third
largest retail industry in the United States, behind only automotive dealers and food stores. In
1998, travel and tourism contributed $91 billion to the U.S. economy, supporting 16.2 million
jobs directly and indirectly. While extensive research has documented the significant economic
impact of such service industries as tourism, little has been written about their effect on
environmental quality.
This study uses a framework developed from the industrial ecology literature to assess
the impacts of the tourism industry on the environment. Three categories of impact are
discussed: direct impacts, including impacts from the travel to a destination, the tourist activities
in and of themselves at that destination, such as hiking or boating, and from the creation,
operation, and maintenance of facilities that cater to the tourist; “upstream” impacts, resulting
from travel service providers’ ability to influence suppliers; and “downstream” impacts, where
service providers can influence the behavior or consumption patterns of customers.
We have identified impacts from tourist-related transportation, including aircraft,
automobiles, and recreational land and marine vehicles; tourist-related development, tourist
activities, and direct impacts of the lodging and cruise industries. Although the direct impacts of
the lodging and cruise industries and impacts of tourist-related transportation were not very
significant, we found on the other hand that tourist activities can have significant impacts,
depending on the type and location of activity. Tourist-related development can also have
significant cumulative impacts on water quality and the aesthetics of host communities.
Opportunity for upstream and downstream leverage within the tourism industry is
considerable. Hotels can exert upstream influence on their suppliers to provide environmentally
sound products, such as recyclable toiletries. Similarly, the cruise industry can use its leverage to
convince suppliers to improve the environmental quality of shipboard products. Opportunity for
downstream influence exists as well. Travel agents can influence where and how a tourist travels,
and tour operators can educate tourists about ways to minimize their impact on the environment.
This report analyzes the environmental impacts of the tourism industry, which is the thirdlargest retail industry in the United States, behind only automotive dealers and food stores. In1998, travel and tourism contributed $91 billion to the U.S. economy, supporting 16.2 millionjobs directly and indirectly. While extensive research has documented the significant economicimpact of such service industries as tourism, little has been written about their effect onenvironmental quality.This study uses a framework developed from the industrial ecology literature to assessthe impacts of the tourism industry on the environment. Three categories of impact arediscussed: direct impacts, including impacts from the travel to a destination, the tourist activitiesin and of themselves at that destination, such as hiking or boating, and from the creation,operation, and maintenance of facilities that cater to the tourist; “upstream” impacts, resultingfrom travel service providers’ ability to influence suppliers; and “downstream” impacts, whereservice providers can influence the behavior or consumption patterns of customers.We have identified impacts from tourist-related transportation, including aircraft,automobiles, and recreational land and marine vehicles; tourist-related development, touristactivities, and direct impacts of the lodging and cruise industries. Although the direct impacts ofthe lodging and cruise industries and impacts of tourist-related transportation were not verysignificant, we found on the other hand that tourist activities can have significant impacts,depending on the type and location of activity. Tourist-related development can also havesignificant cumulative impacts on water quality and the aesthetics of host communities.Opportunity for upstream and downstream leverage within the tourism industry isconsiderable. Hotels can exert upstream influence on their suppliers to provide environmentallysound products, such as recyclable toiletries. Similarly, the cruise industry can use its leverage toconvince suppliers to improve the environmental quality of shipboard products. Opportunity fordownstream influence exists as well. Travel agents can influence where and how a tourist travels,and tour operators can educate tourists about ways to minimize their impact on the environment.
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