CTA The Tourism Industry's Impact 2

Question 1

Which term describes the total economic effect of tourism spending as it circulates through a local economy, supporting jobs beyond the tourism sector?

Accepted Answer

Multiplier effect

Answer

The multiplier effect describes how tourist dollars recirculate through a local economy, creating indirect benefits for non-tourism businesses and workers.

Question 2

When a community's character, traditions, or way of life changes to cater to tourist expectations, this is known as:

Accepted Answer

Tourist commodification

Answer

Tourist commodification occurs when authentic local culture is packaged, simplified, or altered to meet visitor expectations, sometimes at the expense of its original meaning.

Question 3

A city that becomes overly dependent on tourism revenue is most vulnerable to:

Accepted Answer

Economic shocks from travel disruptions

Answer

Over-reliance on tourism creates economic fragility, as natural disasters, pandemics, or geopolitical events can rapidly eliminate visitor spending.

Question 4

Which environmental impact is most directly associated with high visitor volume at natural attractions?

Accepted Answer

Soil compaction and trail erosion

Answer

Heavy foot traffic at natural sites causes soil compaction and trail erosion, degrading ecosystems and reducing biodiversity over time.

Question 5

The concept of 'tourism leakage' refers to:

Accepted Answer

Tourist dollars leaving the local economy to foreign-owned companies

Answer

Tourism leakage occurs when revenue generated by visitors flows out of the destination economy to foreign-owned airlines, hotel chains, or tour operators.

(CTA) Certified Tourism Ambassador Practice Test

(CTA) Certified Tourism Ambassador Practice Test

CTA The Tourism Industry's Impact 2