Tourism is one of the most significant contributors to the United States economy. It is a powerful and dynamic industry that provides jobs, stimulates commerce and cultural exchange, and supports local economies. In this article, we will explore just how much money the US makes from tourism.
Overview of US Tourism Industry
The US tourism industry is vast and diverse, including various types of businesses such as hotels, restaurants, transportation companies, recreational facilities, travel agencies and more. According to the US Travel Association (USTA), in 2019, the industry generated $2.6 trillion in economic output and supported 15.8 million jobs.
The Economic Impact of International Tourism on the US
International tourism plays a significant role in contributing to the US economy. In 2019 alone, international visitors spent $256 billion during their stay in the US. The top five countries that contributed to this spending were:
- Canada – $22 billion
- Mexico – $21 billion
- China – $18 billion
- Japan – $17 billion
- United Kingdom – $4 billion
These figures highlight how important it is for the US to continue promoting itself as a desirable tourist destination worldwide.
The Economic Impact of Domestic Tourism on the US
Domestic tourism also plays a crucial role in contributing to the US economy. In 2019, domestic travelers spent $972 billion on travel-related expenses such as transportation, lodging, food and beverage services and more.
The USTA reports that leisure travel makes up around 80% of domestic tourism spending with business travel making up around 20%. Popular domestic tourist destinations include Florida, California, New York City and Las Vegas.
The Future of Tourism in the US
The COVID-19 pandemic has had a significant impact on the US tourism industry. The USTA estimates that the industry lost $500 billion in travel spending due to the pandemic. However, as vaccination rates increase and travel restrictions ease, there is hope for a rebound in the industry.
The US government is also taking steps to support the tourism industry. In March 2021, President Biden signed the American Rescue Plan Act, which includes $1.25 billion in funding for promoting tourism and hospitality.
Conclusion
In conclusion, tourism is a vital industry that contributes significantly to the US economy. The economic impact of international and domestic tourism spending is enormous and supports millions of jobs across various sectors. While the COVID-19 pandemic has had a significant impact on the industry, there are hopes for recovery with government support and increased vaccination rates.