Scarcity: limited availability of things that we desire (not to be confused with shortage). Utility


Leisure- discretionary time. Recreation -



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Tourism economics

Leisure- discretionary time.

Recreation - pursuits undertaken in leisure time.

Tourism ---- visiting for at least one night for leisure and holiday, business and professional or other tourism purposes.

Economic problem — scarcity and choice.

Leisure and tourism sector organizations — organizations producing goods and services for use in leisure time, and organizations seeking to influence the use of leisure time.

Microeconomics — study of household and firm’s behaviour

Macroeconomics — study of whole economy.

Marginal analysis — study of effects of one extra unit. Ex. Phone call (1st min 5 baht, and after that 1 baht/min)

Positive statement — based on fact.

Normative statement — based on opinion.

Efficiency means . . . getting the most you can from scarce resources.

Equity means . . — benefits of resources are distributed fairly among society.

Market failure may be the cause of an externality which is the impact of one person’s actions on the well-being of another person. (example: pollution-Gov’t intervenes through environmental laws)

Market power is the ability of a single person to unduly influence market prices.

A single well owner in the village. He has market power over the sales of water.



Productivity is the amount of goods and services produced from different resources


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