Impact of tourism on Portugal’s regional development

Abstract

It is widely recognized that tourism is an essential factor in the economic development of the regions. However, the different socio-demographic characteristics of each region can contribute to attracting or not tourists and tourist investment. In this chapter, the regional characteristics that contribute to the attraction of tourism are analyzed and carried out through linear regression models. Likewise, the authors analyze the impact of tourism on the development of regions, in terms of unemployment and wealth creation. The authors also try to understand the degree of dependence of the regions on foreign tourism, given that the tourism sector was severely affected by the beginning of the pandemic. This analysis is made in Portugal, by NUTS II, comparing the different regions of the country.