Real direct tourism output grew at an annual rate of 8.0 percent in the fourth quarter of 2006 reflecting a rebound in the output growth of traveler accommodations and passenger air transportation, according to data released today by the U.S. Bureau of Economic Analysis.
In the third quarter, real tourism declined 1.6 percent (revised). By comparison, real gross domestic product (GDP) grew at an annual rate of 2.2 percent (preliminary) in the fourth quarter and 2.0 percent (final) in third quarter 2006.
Source: U.S. Bureau of Economic Analysis
Direct tourism employment rose 0.3 percent in the third quarter of 2006 (the most recent period for which data are available), after growing 0.3 percent (revised) in the second quarter of 2006. By comparison, overall U.S. employment grew 1.6 percent in the third quarter of 2006, and 1.5 percent (revised) in the second quarter of 2006.
Other highlights:
• The 8.0 percent fourth quarter growth was the largest since the first quarter of 2005.
• For the year 2006, real direct tourism output increased 3.0 percent, the fifth consecutive year of positive growth. By comparison, real GDP grew 3.3 percent in 2006.
• Prices for tourism goods and services fell 2.5 percent in the fourth quarter of 2006 due to significant declines in the prices of transportation-related goods and services. By comparison, the overall GDP price index rose 1.6 percent in the fourth quarter of 2006.
Components of Real Direct Tourism Output
Real direct output of traveler accommodations and passenger air transportation, both of which declined in the third quarter of 2006, grew 16.7 and 6.5 percent, respectively, in the fourth quarter of 2006. For 2006, real direct output of traveler accommodations grew 3.6 percent, down from 6.8 percent in 2005, while passenger air transportation grew 1.7 percent, down from 6.0 percent in 2005.
Component Prices of Direct Tourism Output
Prices for traveler accommodations increased 3.5 percent in the fourth quarter of 2006, the third straight quarter of growth in the 3 to 4 percent range. In contrast, prices for passenger air transportation remained volatile, declining 8.5 percent in the fourth quarter of 2006, after increasing 0.9 percent in the third quarter and 16.9 percent in the second quarter.
Components of Direct Tourism Employment
Employment in the traveler accommodations industry increased a modest 0.2 percent in the third quarter of 2006 (the latest period for which data are available). Still, it was the third straight quarter, and the twelfth of the last thirteen quarters, that employment grew in this industry. In contrast, employment in the air transportation services industry declined for the seventh straight quarter, falling 1.1 percent in the third quarter of 2006.
Total Tourism-Related Output
In the fourth quarter of 2006, total current-dollar tourism-related output of $1.2 trillion consisted of $672.1 billion of direct tourism output - output of goods and services sold directly to visitors, and $512.0 billion of indirect tourism-related output - output of goods and services used to produce what visitors buy.
Total Tourism-Related Employment
In the third quarter of 2006 (the most recent period for which data are available), total tourism-related employment of 8.3 million consisted of 5.7 million direct tourism jobs - jobs where workers produce goods and services sold directly to visitors, and 2.6 million indirect tourism-related jobs - jobs where workers produce goods and services used to produce what visitors buy.
Logos, product and company names mentioned are the property of their respective owners.
