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Casino tourism, economic inequality, and housing bubbles
گردشگری کازینو، نابرابری اقتصادی و حباب های مسکن-2017 Potential linkages among tourism, inequality, and housing are addressed for an integrated analysis in this
paper, with Macao treated as a typical case. Casino tourism, albeit performing as a major key to local
economic growth, is ultimately vulnerable to external shocks to gambling demand, as evidenced by the
current sharp downturn in Macao. We find that faster gaming growth leads to higher income inequality
while at the same time both factors are responsible for soaring housing bubbles, which constitute the
very source of social tensions as in Macao. Casino tourism if not well managed may not be a panacea for
all development goals. The implication for policy derived from this study is that Macao must deal with
underlying issues rather than apply palliative measures. Its market failures may necessitate government
interventions to ensure social equity and sustainable tourism.
Keywords: Casino tourism | Unbalanced growth | Economic inequality | Housing bubbles | Macao |
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