Real spending on travel and tourism turned down in the first quarter of 2014, decreasing at an annual rate of 1.0 percent after increasing 4.5 percent (revised) in the fourth quarter of 2013. Growth in real gross domestic product (GDP) also experienced a down turn, decreasing 2.9 percent (third estimate) in the first quarter after increasing 2.6 percent in the fourth quarter.
The leading contributors to the down turn in the first quarter were “recreation and entertainment,” and “food services and drinking places.” “Recreation and entertainment” turned down, decreasing 11.2 percent in the first quarter after increasing 0.9 percent in the fourth quarter. “Food services and drinking places” also turned down in the first quarter, decreasing 3.5 percent after increasing 7.4 percent in the fourth quarter. Partially offsetting these downturns, “all other transportation-related commodities” turned up.
Real Tourism Spending. Real spending on “recreation and entertainment” turned down, decreasing 11.2 percent in the first quarter after increasing 0.9 percent in the fourth quarter. Real spending on “food services and drinking places” also turned down, decreasing 3.5 percent in the first quarter after increasing 7.4 percent in the fourth quarter.
Tourism Prices. Overall growth in prices for travel and tourism goods and services turned up in the first quarter of 2014, increasing 2.3 percent following a 0.2 percent (revised) decrease in the fourth quarter. The upturn was mainly attributable to an upturn in prices for “traveler accommodations,” which increased 13.2 percent in the first quarter after decreasing 8.0 percent in the fourth quarter. In contrast, prices for “passenger air transportation” turned down, decreasing 5.5 percent in the first quarter after increasing7.0 percent in the fourth quarter.
Tourism Employment. Employment in the travel and tourism industries decelerated, increasing 2.1 percent in the first quarter of 2014 after increasing 2.7 percent (revised) in the fourth quarter of 2013. By comparison, overall U.S. employment increased 1.5 percent in the first quarter after increasing 1.8 percent in the fourth quarter. “Air transportation services” and “food services and drinking places” were significant contributors to employment growth.
Total Tourism-Related Spending was $1.5 trillion in the first quarter of 2014. It consisted of $873.1 billion (58 percent) of direct tourism spending and$625.7 billion (42 percent) of indirect tourism- related spending.
Total Tourism-Related Employment was 7.7 million jobs in the first quarter of 2014 and consisted of 5.4 million (71 percent) direct tourism jobs and 2.3 million (29 percent) indirect tourism-related jobs.