C1,2,3,4

Question 1

Direct employment

Answer 1

Any job at any level in a travel and tourism business such as airline

Question 2

Indirect employment

Answer 2

Any job in an industry that supports the travel and tourism industry such as retailing

Question 3

GDP

Answer 3

Gross domestic product
The total value of a country’s output of all goods and services

Question 4

BOP

Answer 4

Balance of payments
An account of all money coming only and leaving the country

Question 5

Leakage

Answer 5

Tourist income that is spent in an area but is lost to the local economy. Money spent in the country but goes elsewhere as the company isn’t in the country

Question 6

Multiplier effect

Answer 6

Direct spending by tourist which is circulated through the local economy on indirect products and services. Money spent by tourists in a hotel helps to create jobs directly but also helps to create jobs indirectly around the area

Question 7

Profit margins

Answer 7

How private sectors aim to maximise their profit margins and the difference between their total income and their costs