Tourism benefits and costs

G3 Full Geography - syllabus K329, 2027

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Tourism brings jobs, income and shared amenities. It also uses resources and can put pressure on residents and places.

Visitors pay for accommodation, food, transport, shopping and attractions. This supports the businesses involved and their suppliers. Arrival numbers count visits; tourism receipts measure spending. More arrivals do not automatically bring the same increase in wages or local benefits.

Tourism can support cultural exchange, heritage activities and amenities residents enjoy. At busy sites, people may compete for space or experience crowding and neighbourhood change. Different groups receive different benefits and costs, so a business owner and a nearby resident may view the same development differently.

Hotels, transport and attractions use land, energy and water and produce waste and emissions. Tourism can also fund or encourage care for natural and heritage attractions. The balance depends on visitor behaviour, planning, business practices and enforcement. Examine the effects as well as the amount of activity.

Step by step

Economic effects

Visitor spending supports businesses, suppliers and jobs.

Social effects

Tourism can support heritage and amenities or create crowding and conflict over space.

Environmental effects

Resource use, waste and emissions must be weighed against conservation benefits.

Worked example: Use the period correctly

STB reported S$23.9 billion in tourism receipts for January-September 2025. This provides evidence of spending during those nine months. It is not a full-year total, a count of tourists or proof that every household benefited equally.

    Watch out for this

    Tourism receipts are the amount earned by every local resident.

    Receipts measure visitor spending in the specified scope and period. How income reaches workers, firms and other groups requires further evidence.

    Check your understanding

    What can the January-September 2025 receipts figure establish?

    1. The exact number of visitors in the entire year.
    2. That all residents experienced the same benefit.
    3. A measure of visitor spending during the stated nine-month period.

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