International Tourism and Economic Impact Quiz
90 Questions
0 Views

Choose a study mode

Play Quiz
Study Flashcards
Spaced Repetition
Chat to Lesson

Podcast

Play an AI-generated podcast conversation about this lesson

Questions and Answers

What is the Herfindahl index used to measure in the context of international tourism?

  • The degree of concentration of exports (correct)
  • The productivity of local services
  • The growth rate of incoming tourists
  • The number of international partnerships

Which of the following sectors is NOT mentioned as a potential beneficiary of international tourism?

  • Telecommunications (correct)
  • Fishing
  • Construction
  • Food processing

Which type of tourism has been identified as particularly beneficial to productivity in Caribbean countries?

  • High-end tourism (correct)
  • Adventure tourism
  • Mass tourism
  • Cultural tourism

What has Barbados been exploring to strengthen its export sector?

<p>Health and wellness services (A)</p> Signup and view all the answers

What is one of the reasons for the success of Barbados' fertility center?

<p>Highly competent doctors (C)</p> Signup and view all the answers

What was the growth rate of the wellness industry from 2013 to 2015?

<p>10.6 percent (B)</p> Signup and view all the answers

Which aspect of tourism is described as having an extensive margin?

<p>Developing new types of tourism (A)</p> Signup and view all the answers

What is one of the benefits of automation and artificial intelligence?

<p>Improved security (B)</p> Signup and view all the answers

What role does a Port Community System play?

<p>It enables secure information exchange. (D)</p> Signup and view all the answers

What is noted about the impact of tourism on growth and productivity?

<p>Evidence on its impact is mixed. (C)</p> Signup and view all the answers

According to economic literature, what is one effect of trade?

<p>Trade fosters growth. (D)</p> Signup and view all the answers

What major challenge do small and developing economies face regarding exports?

<p>High levels of export concentration. (D)</p> Signup and view all the answers

What is the significance of the Caribbean Single Market and Economy?

<p>It promotes regional integration. (D)</p> Signup and view all the answers

What is a misconception about the relationship between medical tourism and economic growth?

<p>Medical tourism can stimulate economic activity. (B)</p> Signup and view all the answers

What is a potential benefit of environmental sustainability practices in tourism?

<p>It can link to economic diversification. (D)</p> Signup and view all the answers

In the context of regional integration, what is one potential outcome for CARICOM member states?

<p>Enhanced competitiveness in global markets. (D)</p> Signup and view all the answers

What was the highest percentage of tariffs imposed on Latin American exporters in 2015 according to the data?

<p>8% (C)</p> Signup and view all the answers

Which country had the lowest tariff imposed on its exports in 2015 based on the information provided?

<p>Belize (B)</p> Signup and view all the answers

Which of the following countries is NOT listed among the Latin American exporters in 2015?

<p>Venezuela (A)</p> Signup and view all the answers

Which figure represents the tariffs imposed on Barbadian exports in 2015?

<p>14% (C)</p> Signup and view all the answers

Which Latin American country's exports were subject to tariffs of 5% in 2015?

<p>Nicaragua (B)</p> Signup and view all the answers

How many countries are represented in the tariff data for Latin American exporters in 2015?

<p>12 (C)</p> Signup and view all the answers

What key resource was used to calculate the tariffs imposed in 2015?

<p>All of the above (D)</p> Signup and view all the answers

Which percentage figure does NOT represent a tariff imposed on Latin American exporters in 2015?

<p>9% (A)</p> Signup and view all the answers

Which service category had the highest export value in 2012?

<p>Travel (A)</p> Signup and view all the answers

What was the trend in exports for Telecommunications services from 2000 to 2013?

<p>Fluctuating with no clear trend (B)</p> Signup and view all the answers

In what year did the export value for Maintenance Services first exceed $5 million?

<p>2011 (A)</p> Signup and view all the answers

What was the percentage share of Agriculture in GDP in 2016?

<p>3.8% (C)</p> Signup and view all the answers

Which category contributed the least to the total exports of services in 2013?

<p>Royalties (C)</p> Signup and view all the answers

What was the total export value of Services in 2005?

<p>$1,365.5 million (A)</p> Signup and view all the answers

Which year showed a significant drop in Travel exports compared to 2010?

<p>2011 (C)</p> Signup and view all the answers

What percentage of imports from Barbados was covered under the CBI program in 2017?

<p>73% (C)</p> Signup and view all the answers

What is the first step in calculating the weighted average tariff faced by an exporter?

<p>Calculate the weighted average of applied tariffs by each imposing country. (A)</p> Signup and view all the answers

In the calculation of tariffs, what does the variable $E_{tiw}$ represent?

<p>Country i’s total exports to the world. (B)</p> Signup and view all the answers

Why is distance adjusted in the calculation of weighted average tariffs?

<p>To account for its effect on international trade. (B)</p> Signup and view all the answers

What does the term $tt_{ij}$ represent in the calculations?

<p>The weighted average tariffs imposed by country j on country i for product k. (D)</p> Signup and view all the answers

What purpose does selecting the exporter’s trade shares with the world serve in the tariff calculation?

<p>To minimize endogeneity bias in tariff calculations. (C)</p> Signup and view all the answers

Which type of tariff is used for calculating $tt_{ij}$ when there is a Free Trade Agreement (FTA) between countries?

<p>Preferential rate. (B)</p> Signup and view all the answers

In Stage 2 of calculating weighted average tariffs, what is the significance of $I_{twj}$?

<p>It is country j’s total imports from the world. (D)</p> Signup and view all the answers

What does the variable $d_{ij}$ indicate in the tariff calculation process?

<p>The distance between country i and country j. (C)</p> Signup and view all the answers

What is the primary role of the weighted average tariff indicator?

<p>To calculate an aggregate tariff imposed on imports (A)</p> Signup and view all the answers

In the first stage of calculating the weighted average tariff, what is used to weight the applied tariffs?

<p>Distance-adjusted exports to the world (D)</p> Signup and view all the answers

What does the term $E_{tiw_k}$ represent in the tariff calculation process?

<p>Total exports of product k to the world by country i (D)</p> Signup and view all the answers

What is meant by the distance-adjusted exports in the context of tariff calculations?

<p>Exports adjusted to account for the geographical distance to the importer (D)</p> Signup and view all the answers

Why is the distance between countries considered in tariff calculations?

<p>It serves as a key determinant in international trade (D)</p> Signup and view all the answers

What does the term $tt_{ijk}$ signify in the context of the tariff calculation?

<p>The applied tariff imposed by the importer on product k (B)</p> Signup and view all the answers

What stage follows the calculation of weighted average tariffs on individual products?

<p>Calculating the weighted average of the tariffs on each product (D)</p> Signup and view all the answers

What is the purpose of selecting exporters' trade shares with the world as weights?

<p>To minimize endogeneity bias in trade data (D)</p> Signup and view all the answers

Which country had the highest trade as a share of GDP in 2016 among the listed comparator countries?

<p>Maldives (C)</p> Signup and view all the answers

What was Barbados' trade as a share of GDP in 2015?

<p>79% (A)</p> Signup and view all the answers

Among the countries listed, which had the lowest trade as a share of GDP in 2016?

<p>St.Lucia (A)</p> Signup and view all the answers

What could be inferred about the overall trade trends in these Caribbean countries based on the data presented?

<p>Most countries have a trade share exceeding 100% of GDP. (B)</p> Signup and view all the answers

Which country had a trade as a share of GDP of 125% in 2016?

<p>Palau (B)</p> Signup and view all the answers

What can be inferred about Barbados' export market based on the distribution indicated by the Herfindahl index?

<p>Barbados exhibits a low level of market diversification with high export concentration. (C)</p> Signup and view all the answers

How does GDP per capita relate to trade performance according to the figures presented?

<p>Improved GDP per capita corresponds with enhanced market openness and trade performance. (C)</p> Signup and view all the answers

What does the red dot represent in the context of the Herfindahl values shown for Barbados?

<p>The specific Herfindahl index measurements for Barbados in 2015 and 2016. (C)</p> Signup and view all the answers

What method was used to estimate the fitted curve related to export concentration?

<p>A non-parametric technique as referenced in the analysis. (D)</p> Signup and view all the answers

What does the vertical axis of Figure 3 represent in relation to export market dynamics?

<p>The Herfindahl index reflecting market concentration levels. (D)</p> Signup and view all the answers

Which of the following countries had a tariff imposed on their exports in 2015 that was greater than 10%?

<p>Barbados (D)</p> Signup and view all the answers

What was the highest percentage of tariffs imposed on Latin American exporters in 2015?

<p>16% (B)</p> Signup and view all the answers

Which country had its exports subjected to a tariff of 8% in the 2015 data?

<p>Costa Rica (D)</p> Signup and view all the answers

Identify the country that faced the lowest tariff imposed on its exports in 2015 among the listed options.

<p>Ecuador (A)</p> Signup and view all the answers

Which of the following Latin American countries had a tariff as high as 5% on their exports in 2015?

<p>Peru (B)</p> Signup and view all the answers

What percentage of Barbados' GDP was generated by the services sector in 2016?

<p>92 percent (A)</p> Signup and view all the answers

What percentage tariff did the exports of Barbados face in 2015 according to the data?

<p>16% (B)</p> Signup and view all the answers

Which sector has been consistently contracting since 2010 in Barbados?

<p>Tourism (D)</p> Signup and view all the answers

Which of the following countries is NOT listed among the Latin American exporters subject to tariffs in 2015?

<p>Jamaica (C)</p> Signup and view all the answers

Which of the following contributed to 12 percent of GDP at constant prices in Barbados in 2016?

<p>Tourism activities (D)</p> Signup and view all the answers

What has been the trend of the 'Other Business Services' sector in Barbados?

<p>It has seen significant expansion. (C)</p> Signup and view all the answers

Which country had its exports subjected to a higher tariff than Barbados in 2015?

<p>Nicaragua (C)</p> Signup and view all the answers

What major economic challenge do small economies like Barbados face?

<p>High dependence on a single sector (A)</p> Signup and view all the answers

What impact does export concentration have on small economies?

<p>It leads to higher terms of trade volatility. (D)</p> Signup and view all the answers

In what year did the service sector's contribution to Barbados' GDP start increasing consistently?

<p>2000 (A)</p> Signup and view all the answers

What percentage of GDP did agriculture and manufacturing each account for in Barbados in 2016?

<p>4 percent (C)</p> Signup and view all the answers

Which aspect of tourism does the term 'intensive margin' refer to?

<p>Expanding existing types of tourism (D)</p> Signup and view all the answers

What positive impact does tourism have according to studies focusing on Caribbean countries?

<p>Increase in long-term growth (A)</p> Signup and view all the answers

In which industry is Barbados likely to achieve further growth based on its existing comparative advantage?

<p>Health and wellness tourism (C)</p> Signup and view all the answers

What percentage of clients at Barbados' fertility center comes from overseas?

<p>85% (B)</p> Signup and view all the answers

What was the growth rate of the wellness sector from 2013 to 2015?

<p>10.6% (C)</p> Signup and view all the answers

Which of the following sectors is included in the broadly defined health and wellness tourism?

<p>Spa tourism (B)</p> Signup and view all the answers

What factor is cited as contributing to the success of Barbados' fertility center?

<p>High doctor competence (B)</p> Signup and view all the answers

Which of the following activities could yield significant dividends in the tourism sector?

<p>Developing new types of tourism (C)</p> Signup and view all the answers

What was the trend in Barbadian tariffs on imports from 2001 to 2015?

<p>Fluctuated with notable peaks and troughs (D)</p> Signup and view all the answers

What was the maximum tariff rate recorded in the figures for Latin America in 2015?

<p>25% (D)</p> Signup and view all the answers

How many days does it typically take to import goods into Barbados?

<p>120 days (B)</p> Signup and view all the answers

What was the observed cost to import goods into Barbados as indicated in the data?

<p>$1800 (D)</p> Signup and view all the answers

In the visual representation of tariffs charged on imports, which country is directly associated with the BRB code?

<p>Barbados (A)</p> Signup and view all the answers

Which country was noted to have a tariff rate closest to that of Barbados in 2015?

<p>Jamaica (C)</p> Signup and view all the answers

What pattern can be inferred regarding the tariffs in Latin America compared to Barbados?

<p>Barbados consistently had higher tariffs (B)</p> Signup and view all the answers

Which of the following countries is depicted with a significantly lower tariff rate than Barbados in the 2015 data?

<p>Mexico (D)</p> Signup and view all the answers

Flashcards

What is a Port Community System?

A neutral and open electronic platform that allows for secure information exchange between public and private organizations involved in port operations.

List three benefits of using biodiversity, automation, and artificial intelligence.

The benefits of using biodiversity, automation, and artificial intelligence in various sectors. These advancements contribute to enhanced security, improved productivity and efficiency, and valuable data collection for optimizing processes.

What is export diversification?

The process of increasing the range of goods or services that a country exports. It helps reduce reliance on a few products and can lead to economic diversification.

What is a Single Market & Economy?

A regional trade agreement where member states eliminate tariffs and non-tariff barriers on trade within the bloc. It promotes economic integration and cooperation.

Signup and view all the flashcards

What is medical tourism?

The practice of seeking medical treatment in a different country, often driven by cost savings or access to specialized care.

Signup and view all the flashcards

What are exceptions to CARICOM's CET and tariff peaks?

A trade mechanism that allows countries to temporarily deviate from their standard tariffs. This can be used to address specific circumstances or policy objectives.

Signup and view all the flashcards

What is constant-market-shares analysis?

The concept of measuring trade performance based on a country's export share in a specific market. It helps analyze a country's competitiveness in international trade.

Signup and view all the flashcards

What are the benefits of regional integration for CARICOM?

The benefits of regional integration for the Caribbean Community (CARICOM). It can lead to increased trade, investment, and economic growth within the region.

Signup and view all the flashcards

Openness to trade in services

The value of exports of services as a percentage of a country's total GDP.

Signup and view all the flashcards

Relative importance of services trade

The ratio of the value of exports of services to the value of exports of goods.

Signup and view all the flashcards

Services Sector Share in GDP

The share of the services sector in a country's overall economic output (GDP).

Signup and view all the flashcards

Openness to trade

The total value of a country's exports of goods and services, expressed as a percentage of its GDP.

Signup and view all the flashcards

CBI (Caribbean Basin Initiative)

A trade agreement that gives preferential market access to goods from specific developing countries.

Signup and view all the flashcards

MFN (Most Favored Nation)

A trade agreement that provides standard trade preferences to goods from countries that are not part of any specific trade agreement.

Signup and view all the flashcards

Duty-Free Trade

A trade agreement that allows goods to enter a country duty-free, without paying any tariffs.

Signup and view all the flashcards

Duty-Paid Trade

A trade agreement that requires goods to pay taxes (tariffs) upon entry into a country.

Signup and view all the flashcards

Upstream and Downstream Suppliers in Tourism

Tourism's positive impact on local economies extends to companies involved in producing goods and services that support the tourism industry.

Signup and view all the flashcards

Herfindahl Index and Export Concentration

The Herfindahl index measures the concentration of exports to different markets. A high index indicates a strong reliance on few markets. It can indicate vulnerability to economic shocks but also opportunities for diversifying products and services.

Signup and view all the flashcards

Relationship Between Development and Export Concentration

The relationship between a country's economic development stage and its export concentration can be visualized with a curve. This curve allows us to understand how export diversification changes as a country develops.

Signup and view all the flashcards

Health and Wellness Tourism

International tourism can provide opportunities for countries to develop and export services related to health and wellness, such as medical tourism, spas, and wellness retreats.

Signup and view all the flashcards

Expanding Tourism in Intensive and Extensive Margins

Countries can benefit from increasing both the quantity and diversity of their tourism offerings. This means attracting more visitors and developing new tourist experiences.

Signup and view all the flashcards

Barbados' Fertility Tourism

Barbados successfully attracts foreign patients to its fertility centers due to its skilled doctors, competitive prices, and favorable location.

Signup and view all the flashcards

Growth Potential of the Wellness Industry

The health and wellness tourism sector is booming, with a global market value of US$3.72 trillion in 2015. It offers a significant growth opportunity for countries seeking to diversify their economies.

Signup and view all the flashcards

Tourism's Impact on Different Economic Sectors

The focus on tourism can bring benefits to various sectors of a country's economy.

Signup and view all the flashcards

What is a tariff?

A tariff is a tax imposed on goods imported into a country.

Signup and view all the flashcards

Are tariffs the same for all goods?

Tariffs can be imposed on various goods exported from different countries. These tariffs can vary depending on the type of good and the country of origin.

Signup and view all the flashcards

What does the figure show?

The data presented in the figure shows the average tariffs imposed on exports from various Latin American countries to other countries in 2015.

Signup and view all the flashcards

What kind of chart is this?

The figure is a bar chart, representing the average tariff rates applied to exports from different Latin American countries in 2015.

Signup and view all the flashcards

What was the average tariff rate on Barbadian exports in 2015?

The average tariff rate imposed on exports from Barbados in 2015 was 4.1%, a relatively low rate compared to other Latin American countries.

Signup and view all the flashcards

Are all tariffs the same across Latin America?

The data shows that some countries, like Barbados, had lower average tariffs on their exports compared to other countries like Mexico and Chile.

Signup and view all the flashcards

What does this data tell us about trade policies?

This data highlights the differences in trade policies and barriers imposed by countries on goods imported from Latin America.

Signup and view all the flashcards

What is the overall takeaway from this data?

The figures show that there is a range of tariff rates applied to Latin American exports, highlighting the complexity of international trade.

Signup and view all the flashcards

Weighted Average Tariff

A measure of the average tariff faced by a country's exports in the global market. It uses a weighted average of tariffs imposed by different countries on each product exported.

Signup and view all the flashcards

Applied Weighted Average Tariff

A measure of the average tariff imposed on a country's exports, taking into account both preferential and non-preferential rates.

Signup and view all the flashcards

Export Share

The share of a country's exports of a specific product to the total world exports of that product.

Signup and view all the flashcards

Distance-Adjusted Import Share

The share of an importing country's total imports from the world, factoring in the distance between the exporter and the importer.

Signup and view all the flashcards

Preferential Tariff Rate

The preferential tariff rate applied to a product imported from a country with which the importing country has a Free Trade Agreement (FTA).

Signup and view all the flashcards

MFN (Most Favored Nation) Tariff Rate

The tariff applied to a product when no preferential rates are available due to the absence of a Free Trade Agreement.

Signup and view all the flashcards

Endogeneity Bias

The tendency of high tariffs to suppress or distort trade, potentially affecting the accuracy of the weighted average tariff calculation.

Signup and view all the flashcards

Minimizing Endogeneity Bias

The use of a country's export share with the world instead of bilateral trade shares as weights to reduce the potential bias caused by high tariffs affecting bilateral trade.

Signup and view all the flashcards

Aggregated Tariff Measure

A comprehensive indicator that measures the tariffs imposed by a country on imported goods.

Signup and view all the flashcards

Weighted Average Tariff Calculation (Stage 1)

In this method, the tariffs applied by a country on each product are calculated as a weighted average, taking into account the trade share of each trading partner based on their global exports.

Signup and view all the flashcards

Weighted Average Tariff Calculation (Stage 2)

This stage involves calculating the final aggregated tariff measure by taking the weighted average of all tariffs on different products. The weights are based on the share of each product in the total world exports.

Signup and view all the flashcards

Distance Adjustment

The process of calculating the weighted average tariff by considering the distance between countries in addition to the trade share.

Signup and view all the flashcards

Global VS Bilateral Trade Shares

Using global trade shares instead of bilateral trade shares minimizes the bias caused by high tariffs distorting trade between specific partners.

Signup and view all the flashcards

Tariff Rates (Preferential vs. MFN)

The applied tariff on a product depends on whether there's a free trade agreement (FTA) between the importing and exporting countries.

Signup and view all the flashcards

Herfindahl Index

A measure of the concentration of a country's exports to different markets, using a numerical index to represent reliance on few markets.

Signup and view all the flashcards

Medical Tourism

The practice of seeking medical treatment in a different country, often driven by cost savings or access to specialized care.

Signup and view all the flashcards

Export Diversification

The process of increasing the range of goods and services a country exports. It helps reduce reliance on a few products and can lead to economic diversification.

Signup and view all the flashcards

Tourism in the Barbadian Economy

The tourism industry is an example of a service sector that is vital to Barbados's economy. It is, however, susceptible to shocks and declining revenues.

Signup and view all the flashcards

Export Concentration

The situation in which a country relies on a small number of products or services for its export earnings. This can make the economy susceptible to shocks and volatility.

Signup and view all the flashcards

Volatility in Small Economies

Small economies are more vulnerable to economic fluctuations, especially if they are heavily reliant on a single industry or trade partner.

Signup and view all the flashcards

Tourism's Multiplier Effect

The tourism industry can create jobs and revenue not just in hotels and restaurants, but also in transportation, retail, and other sectors. This is called the "multiplier effect."

Signup and view all the flashcards

Diversification in Small States

The idea that countries should aim to diversify their economies by developing new industries and creating jobs in different sectors.

Signup and view all the flashcards

Development and Export Concentration

The relationship between a country's economic development stage and its export concentration. This can be visualized as a curve, showing how export diversification changes as a country develops.

Signup and view all the flashcards

Tourism's Impact on Economic Sectors

Tourism can positively impact various sectors of a country's economy, from agriculture and fishing to construction and food processing. It creates opportunities for upstream and downstream businesses involved in supplying goods and services to the tourism industry.

Signup and view all the flashcards

Expanding Tourism: Intensive and Extensive Margins

Tourism can expand in two ways: increasing the quantity of visitors (intensive margin) and developing new types of tourism (extensive margin). This can diversify a country's tourism offering and create new economic opportunities.

Signup and view all the flashcards

The Wellness Industry: Growth Potential

The global wellness tourism market is expanding rapidly, offering significant growth potential for countries seeking to diversify their economies. The industry includes a wide range of services, from traditional healthcare to spa treatments and more.

Signup and view all the flashcards

Tourism's Impact on Growth and Productivity

The tourism industry can have a positive impact on productivity and economic growth, especially in countries with a comparative advantage in tourism. This is often seen in Caribbean countries, where tourism plays a significant role in economic development.

Signup and view all the flashcards

MFN Tariff Rate

The standard tariff rate applied to imported goods from a country that doesn't have a free trade agreement with the importing country, representing the regular tax rate.

Signup and view all the flashcards

More Like This

Use Quizgecko on...
Browser
Open
Browser
Browser