Financial Theory and Practice (Jun 2010)
Direct pollution cost assessment of cruising tourism in the Croatian Adriatic
Abstract
Cruise tourism is one of the fastest growing sectors of the tourism industry and one that has significant environmental, economic and social impacts on target destinations. Yet, tourism decision makers, developers and managers rarely incorporate or estimate environmental impacts in their tourism development planning. Indeed, the analysis of the resulting resource exploitation is rarely undertaken until carrying capacity is breached and attractiveness diminished. In this article an assessment is offered that determines, quantifies and financially estimates emissions and waste streams so they can be compared with the direct income generated to the local economy by cruising tourism. It is applied to the Croatian part of the Adriatic and financially evaluates environmental impacts, arguing that they are negative externalities due to inappropriate internalization and management.The purpose of the assessment is to give a “snapshot” of the situation, and also to create the groundwork for a model that will assist decision makers and stakeholders, at different levels and of different interests, to prevent and reduce the ecological, health and economic risks associated with dead-end tourism development.
