Conflicts in Development: Tourism and the Cattle Industry in Brazil

Nicholas Sanchez () and John O'Connell ()
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Nicholas Sanchez: Department of Economics, College of the Holy Cross
John O'Connell: Department of Economics, College of the Holy Cross

No 512, Working Papers from College of the Holy Cross, Department of Economics

Abstract: This paper challenges the conventional view that where there is a political elite, economic development will proceed along lines that sacrifice future generations for the benefit of the current ruling class. We find that shortfalls in the balance of payments will cause those in authority to promote activities that encourage tourism as a solution to balance of payments deficit. The vehicle for generating tourism is the provision of public goods. More traditional paths toward development particularly cattle ranching are displaced by tourist attractions. While motivated by myopic self-interest, the pursuit of public goods reduces the amount of debt transferred to future generations and thereby serves to redistribute wealth inter-temporally. Brazil over the period 1965 until 1998 is used as a test case.

Keywords: tourism; cattle; ecotourism; public goods (search for similar items in EconPapers)
JEL-codes: O1 O5 P0 (search for similar items in EconPapers)
Pages: 24 pages
Date: 2005-08
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https://hcapps.holycross.edu/hcs/RePEc/hcx/HC0512-Sanchez_CattleTourism.pdf Revised version of paper presented at 2005 WEA meetings, San Francisco, CA. (application/pdf)

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Persistent link: https://EconPapers.repec.org/RePEc:hcx:wpaper:0512

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