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Tourism-based economic growth and development, a recent strategic phenomenon, has been attracted the attention of government, businesses, policy makers and other stakeholders of world economies. Tourism-based development is playing a pivotal role by contributing significantly to the GDP of developed and developing economies. Besides, it also receives a wide-spread recognition because of its ability to eliminate the disparities in the balance of payment (BOP) conditions by contributing positively to the services account of the BOP. The continuous expansion of the tourism sector made it possible to recognize it as the largest and fastest growing industry, considering either in a country specific or an aggregate global perspective. According to Eadington and Redman (1991), tourism industry is one of the largest and fastest expanding sectors of the world economy, and is thus experiencing an expansion faster than any other industry, exposing a post-industrial society. The economic repercussions of tourism are occurring in extensive latitude, within the evolution of the globalization process (Sugiyarto, Blake & Sinclair, 2003) that is, in turn, helping the acceleration of this industry’s expansion around the globe.

Economic Impact of Tourism - A Review of Literatures on Methodologies and Their Uses: 1969-2011