What is it about?
This paper examines the impact of various types of crime in Barbados on tourist arrivals to Barbados. Estimates suggest that a 1% shock to the Total Crime rate results in direct losses of over $47,000. Estimated indirect losses are $108,000. The direct and indirect income losses associated with tourists’ response to each type of crime differ in magnitude as well. Estimates suggest that for a 1% shock to the Murder rate, the country loses over $2.8 million directly and $6.4 million indirectly. Losses from shocks to the Rape and Assault with Intent to Rob rates are also in the millions. In com- parison, losses are $126,000 directly and $290,000 indirectly from a shock to the Residential/ Accommodation Burglary rate.
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Why is it important?
Understanding the relationship between crime and tourism is imperative, as effective management of social problems in general, and crime in particular, requires considerable information about the nature of the problem and the range of its effects on the tourism sector.
Perspectives
For countries dependent or tourism or other sector that is dependent on external sentiment, the issue of crime is very important. Local policymakers will take great care to ensure that tourists or foreign investors are not dissuaded from visiting or investing as economic fortunes and development depend on their continued spend. We wanted to quantify the effects of crime on tourism demand to gain some perspective. Hopefully, we have contributed in some way to the literature.
Prof Troy Lorde
University of the West Indies
Read the Original
This page is a summary of: Evaluating the Impact of Crime on Tourism in Barbados: A Transfer Function Approach, Tourism Analysis, March 2013, Cognizant Communication Corporation,
DOI: 10.3727/108354213x13645733247774.
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