tourism situation in DR seems to be better now...

T

the gorgon

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Sep 16, 2010
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jsimonson0 said:
The airfare money doesn't go into the DR economy, only the portion that reflects DR taxes. Your earlier figure of $1000/head makes more sense, as it'd be about $125-150/day/person (not an unreasonable average, given the condos rent for $50/night and Hard Rock charges $400-500/night) for 5-7 days. Also factor in $50-100 in cab fare (both ways, including those that get duped) for each tourist or family. $1000/person an easy figure to hit.
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that passage of yours fails to take into consideration that the preponderant majority of tourists to the DR are AI tourists, and that the preponderant numbers of hotels are foreign owned. leakage, brother, leakage.
 
J

ju10prd

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the gorgon said:
they don?t need to advise me. i read the numbers, and they make zero sense. here is why

the nominal GDP of the DR is roughly 60 billion. therefore, by the number of 8%, then the DR receives 5 billion from tourism expenditure.

last year, the DR received 5 million tourists. therefore, the average spend per head is 1000 dollars.

let us factor leakage into the equation. the average leakage for tourism in the region is 79%. for each dollar a tourist spends on a caribbean vacation, 79 cents leak out, by different means. so, the 5 billion represents 21% of the money visitors spend.

that means that each visitor spends nearly 5 thousand dollars on his vacation, including hotel, airfare, and hospitality.

i don?t believe it.
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There is little doubt that tourists in the main tourist destinations in this country......significantly the East Coast spend large sums on their hotel packages.........just check the all inclusive prices there.

That said you forget one very large factor....local tourism. The influx to the resorts from the Dominican middle class at weekends and holidays as well as their vacations is a very significant factor indeed and they are not in your 5 million figure which is foreigners.

I will go with the economists GDP figures.
 
T

the gorgon

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Sep 16, 2010
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ju10prd said:
There is little doubt that tourists in the main tourist destinations in this country......significantly the East Coast spend large sums on their hotel packages.........just check the all inclusive prices there.

That said you forget one very large factor....local tourism. The influx to the resorts from the Dominican middle class at weekends and holidays as well as their vacations is a very significant factor indeed and they are not in your 5 million figure which is foreigners.

I will go with the economists GDP figures.
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you are grown. you are free to go with whatever suits you.
 
R

robbiee

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Dec 27, 2014
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if I live here on 25 usd/ day, how do I fit in 8 % GDP ?
:->
but I pay for the locally owned hotels, for the bike repairs, for cafeterias...and sometimes for the restaurants,girls and something to smoke......
plus, I dont stay here for 3 weeks but for many months....
the gorgon said:
they don?t need to advise me. i read the numbers, and they make zero sense. here is why

the nominal GDP of the DR is roughly 60 billion. therefore, by the number of 8%, then the DR receives 5 billion from tourism expenditure.

last year, the DR received 5 million tourists. therefore, the average spend per head is 1000 dollars.

let us factor leakage into the equation. the average leakage for tourism in the region is 79%. for each dollar a tourist spends on a caribbean vacation, 79 cents leak out, by different means. so, the 5 billion represents 21% of the money visitors spend.

that means that each visitor spends nearly 5 thousand dollars on his vacation, including hotel, airfare, and hospitality.

i don?t believe it.
Click to expand...
 
T

the gorgon

Platinum
Sep 16, 2010
33,997
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robbiee said:
if I live here on 25 usd/ day, how do I fit in 8 % GDP ?
:->
but I pay for the locally owned hotels, for the bike repairs, for cafeterias...and sometimes for the restaurants,girls and something to smoke......
plus, I dont stay here for 3 weeks but for many months....
Click to expand...

there is no way to track expenditures such as yours, and enter them into the calculation.
 
M

Manzana

Member
Jan 23, 2007
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the gorgon said:
they don?t need to advise me. i read the numbers, and they make zero sense. here is why

the nominal GDP of the DR is roughly 60 billion. therefore, by the number of 8%, then the DR receives 5 billion from tourism expenditure.

last year, the DR received 5 million tourists. therefore, the average spend per head is 1000 dollars.

let us factor leakage into the equation. the average leakage for tourism in the region is 79%. for each dollar a tourist spends on a caribbean vacation, 79 cents leak out, by different means. so, the 5 billion represents 21% of the money visitors spend.

that means that each visitor spends nearly 5 thousand dollars on his vacation, including hotel, airfare, and hospitality.

i don?t believe it.
Click to expand...

Your rough estimate was working well until the "leakage" term. GDP is all economic activity, not economic activity net whatever "leakage". About $1000 per tourist seems right for economic activity generated. Profit margins for AI's aren't very high and most of their expenses go into the local economy one way or another: construction materials, wages, taxes and fees, food, drinks, utilities, fuel, etc. Not sure how 79% could "leak out". Is that somebody calculating that if the AI is foreign owned it's revenues don't count? It does make sense that most tourist spending doesn't get to local businesses directly if they are staying at AI's. The proportion that only 20% of what tourists spend flows directly to local businesses seems reasonable but that's not impact on GDP.
 
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