International Tourism and its Impact on World Politics and World Economy

Authors

  • Nika Chitadze

DOI:

https://doi.org/10.31578/jss.v8i2.146

Abstract

International tourism is one of the most dynamically developing forms of international trade. In the economy of a particular country, it performs a number of important functions: it is a source of foreign exchange earnings and a means of providing employment for the population; contributes to the balance of payments; contributes to the diversification of the economy, providing stimulating effects on industries serving the tourism sector; increases the attractiveness of the country as a sphere of international entrepreneurship and business cooperation; creates incentives for the inflow of foreign capital into the national economy.

The main feature of international tourism is the crossing of state borders. The greater the differences between states, the greater the obstacles to the free movement of people. The simplification (tightening) of formalities has an impact on international tourist flows, providing (or, conversely, hindering) the movement of people. The complex and confusing procedure for issuing travel documents, violation of the deadlines for their consideration or arbitrary deviation, the introduction of severe restrictions on imports and currency exchanges, which determine the level of consumption of goods and services by tourists, do not contribute to the development of international tourism. From this point of view, customs declarations and inspections act as a deterrent and lead to a reduction in tourist trips.

Another feature of international tourism is economic in nature and is revealed through the impact it has on the country's balance of payments. Foreign tourists, paying for goods and services, ensure the flow of currency into the budget of the host country, thereby activating its balance of payments, which is why the reception of foreign tourists is called active tourism. On the other hand, the departure of tourists abroad is associated with an outflow of currency from their country of permanent residence. International payments for tourism operations of this kind are reflected in the liability of the balance of payments of the country supplying tourists, and tourism itself is characterized as passive. The division into active and passive, based on the characteristics of the reflection of the financial results of tourism activities in the balance of payments, is inherent only in international tourism and does not apply to domestic tourism.
Keywords: Tourism, World Tourism Organization, Recreation, Visitor, Statistics, World Politics, World Economy

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Published

27-06-2023