Source: MICHIGAN STATE UNIV submitted to NRP
RECREATION AND TOURISM: DEMAND AND ECONOMIC IMPACTS
Sponsoring Institution
National Institute of Food and Agriculture
Project Status
COMPLETE
Funding Source
Reporting Frequency
Annual
Accession No.
0194085
Grant No.
(N/A)
Cumulative Award Amt.
(N/A)
Proposal No.
(N/A)
Multistate No.
(N/A)
Project Start Date
Oct 1, 2002
Project End Date
Sep 30, 2007
Grant Year
(N/A)
Program Code
[(N/A)]- (N/A)
Recipient Organization
MICHIGAN STATE UNIV
(N/A)
EAST LANSING,MI 48824
Performing Department
DEPT OF COMMUNITY, AGRICULTURE, RECREATION & RESOURCE STUDIES
Non Technical Summary
Recreation and tourism activities can have significant economic impacts on local economies. However, most organizations lack the data, tools, and expertise to accurately assess economic impacts and determine the relative benefits and costs of distinct development, policy and marketing alternatives. The purpose of this project is to provide tools and information to reliably estimate the economic impacts of recreation and tourism activities.
Animal Health Component
70%
Research Effort Categories
Basic
10%
Applied
70%
Developmental
20%
Classification

Knowledge Area (KA)Subject of Investigation (SOI)Field of Science (FOS)Percent
1340599301025%
1346110301025%
6080599301025%
6086110301025%
Goals / Objectives
1. Develop tourism satellite accounts for Michigan at state and county levels. 2. Continue to refine and update spending data and economic impact models for application to recreation and tourism 3. Develop models to estimate tourism day trips to Michigan destinations. 4. Adapt economic impact models to needs of particular clients and applications.
Project Methods
By objective: 1. Tourism satellite accounts will be estimated using IMPLAN county economic data and tourism industry ratios for key tourism-related sectors. The ratios will be estimated for each county based on proportions of tourists to local residents and their propensities to purchase different commodities. 2. Updates to impact models will draw from new visitor spending surveys, BLS price indices, and analyses of changes in economic ratios and multipliers over time. 3. Gravity-type models will be estimated to predict the number of day trips of different types from counties of origin to destinations based on origin populations, distance factors, attractiveness of destinations and intervening opportunities. One or more secondary survey data sets will be used to estimate the models. 4. We will work with different potential impact model users to adapt segments, and input-output requirements to fit their needs.

Progress 10/01/02 to 09/30/07

Outputs
Spending profiles were estimated for national forest recreation visitors using data from the National Visitor Use Monitoring Survey (NVUM). Visitor segments defined by residency (local or non-local), trip types (day or overnight), and stays on or off the forest explained the greatest share of variation in spending. Differences across forests and recreation activity groups were much smaller. Visitors to Sequoia and Kings Canyon National Parks spent $65 million dollars in Tulare and Fresno counties in 2002, supporting 1,200 jobs and generating $22 million in personal income. Economic impacts of museums in Michigan were estimated based on surveys of museum administrators and visitors in 2002. A total of 393 museums employed an estimated 7,500 people in 2002, with a payroll of $130 million. An estimated 10.9 million museum visitors spent $733 million in the local area. Omitting spending by local residents and most spending on trips where the museum was not the primary trip purpose, the estimated loss to local areas in the absence of museums is $334 million. Museum visitors represent about 7% of all Michigan tourist spending; 3% counting only primary purpose trips. Including museum operations and visitor spending, the economic significance to the state is 25,000 jobs and $552 million in personal income. The economic impact of museums on the state is 15,000 jobs and $331 million in personal income. Museum visitor spending profiles were similar to spending patterns of Michigan tourists in general.

Impacts
The USDA Forest Service will use recreation spending profiles and impact analysis tools in updating forest plans and evaluating alternatives. This will reduce the needs for visitor spending surveys and the costs of making impact estimates. Forest Service, National Park Service and Corps of Engineers utilize economic impact results to help foster local partnerships and cost sharing arrangements. Michigan museum study will be used by Travel Michigan in promoting heritage tourism and allocating travel promotion activities to optimize impacts on state and regional economies.

Publications

  • Pennington-Gray, L., J. D. Fridgen and D.J. Stynes. 2002. Cohort segmentation: An application to tourism. Leisure Sciences 25:4: 341- 362.
  • Lee, Hee-Chan. 2003. Estimating Recreational Boater Expenditures on Trips and Boating Use in a Wave Survey. Leisure Sciences 25(4): 381-398.
  • Lee, Hee Chan. 2002. Regional flows of recreational boater expenditures on trips in Michigan. Journal of Travel Research 41(1): 77-84.
  • Stynes, Daniel J., Vander Stoep, Gail A. and Sun, Ya-Yen. 2003. Economic impacts of Michigan museums. East Lansing, MI: Department of Park, Recreation and Tourism Resources, Michigan State University. 43pp.
  • Stynes, Daniel J. and Sun, Ya-Yen. 2003. Impacts of Visitor Spending on the Local Economy; Sequoia and Kings Canyon National Parks, 2002. East Lansing, MI: Department of Park, Recreation and Tourism Resources, Michigan State University. 24pp.
  • Stynes, Daniel J., White, Eric M. and Leefers, Larry A. 2003. Spending profiles of National Forest visitors, Years 2000 and 2001. Report to USDA Forest Service. East Lansing, MI: Department of Park, Recreation and Tourism Resources, Michigan State University. 51pp.
  • Stynes, Daniel J. and Sun, Ya-Yen. 2003. Aliance of National Heritage Areas: Visitor Survey Guide. East Lansing, MI: Department of Park, Recreation and Tourism Resources, Michigan State University. 44pp