Hawaii, an archipelago in the Pacific Ocean, is a major tourist destination with its warm tropical climate, pristine beaches, and breathtaking scenery. But have you ever wondered what percentage of Hawaii’s economy comes from tourism? In this article, we will explore the impact of tourism on Hawaii’s economy.
What is Tourism?
Tourism refers to the activity of people traveling to and staying in places outside their usual environment for leisure, business or other purposes. It involves a range of services such as transportation, accommodation, food and beverage services, and recreational activities.
The Importance of Tourism in Hawaii
Tourism has been an integral part of Hawaii’s economy for many years. The Hawaiian Islands attract millions of visitors each year from all over the world. According to the Hawaii Tourism Authority (HTA), in 2019, approximately 10.4 million visitors came to Hawaii, generating $17.75 billion in visitor spending.
Percentage of Hawaii’s Economy from Tourism
Tourism is a significant contributor to Hawaii’s economy. In fact, it is the state’s largest industry. According to the HTA, in 2019 tourism accounted for:
- 21% of total state tax revenue
- 24% of total employment
- 28% of total visitor-related expenditures
The Impact of COVID-19 on Tourism in Hawaii
The COVID-19 pandemic has had a profound impact on tourism worldwide and has severely affected the Hawaiian Islands’ economy. In March 2020, Governor David Ige issued a mandatory quarantine for all visitors arriving in Hawaii. This measure significantly reduced visitor arrivals and spending.
As a result of the pandemic-induced restrictions and travel bans around the world, visitor arrivals to Hawaii fell by an unprecedented 74% in 2020, and visitor spending declined by almost 69%.
Conclusion
Tourism is a crucial industry in Hawaii, contributing significantly to the state’s economy. While the COVID-19 pandemic has had a severe impact on Hawaii’s tourism industry, the state remains optimistic about the future of the industry. With the rollout of vaccines and easing of travel restrictions, it is hoped that tourism in Hawaii will gradually recover in the coming years.
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