Tourism in an LIC/NEE example

Predict, then check

Put yourself in the government's shoes.

Concerns about overtourism have grown in Bali. What is the government's plan?

What you need to know

• Bali is part of Indonesia, which is an NEE (newly emerging economy).
• Tourism is one strategy for reducing the development gap, and Bali is the example for judging how far it helps.
• Tourism provides 60% of Bali's income and has created many new jobs.
• Have a goImagine Bali's total income is 100 units. If tourism provides 60% of it, how many units come from everything else?

  40 units.

  60% is only tourism's share, so the rest comes to 40%. Easy trap: writing 60 again.

• The economy is growing, and some public services have improved.
• Have a goSomeone writes: 'Tourism has improved all of Bali's public services.' Which word in the evidence stops you agreeing?

  'Some': only some public services have improved.

  'All' stretches the evidence further than it goes, so keep the hedge the evidence gives you.

• Life expectancy is above the Indonesian average, and Bali is fifth of Indonesia's 38 provinces for human development.
• Have a goYour friend announces, 'Bali has the longest life expectancy in the world, and tourism did it!' What has your friend got wrong?

  The evidence only says above the Indonesian average, and it shows better health alongside tourism, not a world record or a proven cause.

  The comparison is with Indonesia's average, and the case study gives life expectancy as evidence, not as a step-by-step explanation.

• There are costs too: a declining water supply, pollution, erosion of local culture and environmental damage in the South.
• Concerns about overtourism have led to plans for five new tourist destinations elsewhere.
• That plan spreads tourism rather than stopping it.
• So 'tourism is simply good for development' is too simple: Bali shows gains and costs side by side.

The big picture

Bali is part of Indonesia, an NEE, and it is a case study of tourism helping to reduce the development gap. Tourism provides 60% of its income, has created many new jobs and sits alongside above-average life expectancy. But the water supply is declining and there is pollution, environmental damage in the South and erosion of local culture. The government's response to overtourism concerns is to spread tourism, not stop it.

⚠ Watch out

Writing 'tourism is good for Bali' (or 'bad for Bali') and stopping there. The case study shows both sides: gains in income, jobs and health, and costs to water, environment and culture. Name evidence from both.

Memory hook

Think 60, 5, 5: 60% of income, fifth of 38 provinces, five new destinations. Then remember the bill that comes with it: water, pollution, culture.

Check yourself

From memory: give two pieces of evidence that tourism has helped Bali, one cost it has brought, and what the government plans in response to overtourism concerns.