What caused the tourism multiplier effect in scenario

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Reference no: EM133081880

Instructions: Read the scenario and respond to the questions below. Respond with text of attachment.

Vibrant Resorts is a newly opened resort that has hired 50 employees and purchased supplies from local suppliers to operate fully. The resort is then subjected to pay taxes imposed by the government. Two (2) weeks have passed since the resort opened, and the employees have received their first salaries. Aidan, an employee of Vibrant Resorts, budgeted his earnings by allotting some for his grocery and the daily commute, his family in India, and saving the rest of it. While Jobel, also an employee, invested some of his earnings on an online book fair in Malaysia. After two (2) years of operating, the resort exceeded its target income and decided to upgrade its products and services by contracting with other local suppliers.

Discussion Questions:

What caused the tourism multiplier effect in the scenario?

Enumerate and explain the economic leakages in the given scenario.

What do you recommend to lessen the leakages identified in the scenario?

Reference no: EM133081880

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