Abstract
Tourism sector has been identified contribute to the economy of Lampung Province. The study aims to assess the direct and indirect linkage towards economic sectors, analyze the sensitivity of tourism sector distribution, to assess the multiplier effect of dispersion in the tourism sector, and calculate the final demand of tourism sector in the economy of Lampung Province. The results revealed that the score of the forward linkages from the tourism sector in Lampung is relatively small compared to the backward linkage. Both directly and indirectly, the tourism sector is a ‘down stream’ sector of Lampung economy, which the output is directly consumed by final consumers. Therefore if tourism sector is developed, it can pull output that is in the upstream sector. Keywords: development, forward and backward linkages, local economy, multiplier effect, tourism economy.
Highlights
Tourism is an important sector for many countries, and the rapid grows of tourism has been viewed as one of the challenges for new business
The results revealed that the score of the forward linkages from the tourism sector in Lampung is relatively small compared to the backward linkage
Increasing amount of tourists visit to Indonesia make the tourism sector in Indonesia can play a role in economy through revenues derived from the large tourism consumption during their visit to the area of tourism destination [3]
Summary
Tourism is an important sector for many countries, and the rapid grows of tourism has been viewed as one of the challenges for new business. Increasing amount of tourists visit to Indonesia make the tourism sector in Indonesia can play a role in economy through revenues derived from the large tourism consumption during their visit to the area of tourism destination [3]. This can be seen by tourist expenditures during the period which amounted 1,133.81 million US dollars, where the tourists expenditure/spending contributed approximately 9.1 billion US dollars, an increase of 5.8% compared to the year 2011 [4]. Based on Indonesia Central Bureau of Statistics in 2012, the contribution of tourism to the national economy amounted to 13.9% of the total Gross Domestic Product, and it will continues to grow in the year [5]
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