Productive interdependence of tourist activities in Brazil

Abstract

This paper examines the production linkages of Tourism Characteristic Activities in the Brazilian economy and breaks down the output variation of these activities into technological change and final demand effects. To do so, we use the hypothetical extraction and structural decomposition methods based on the Brazilian input-output matrices of 2010 and 2015. The main results show that the absence of tourist activities would cause a 0.83% reduction in the total output in Brazilian economy, and the impacts caused by the absence of the purchasing and selling structures of these activities were relatively low, which can be partially explained by the fact that tourist activities are oriented towards final demand. Furthermore, variations in the output of tourist activities are predominantly explained by the behavior of final demand, with a reduced impact of technical progress. Household consumption and exports are the ones that contributed the most to the variations in output.