Australian Aviation Sector Influences On The Australian Economy And The Tourism Industry

1580 Words7 Pages
TOUR2010 – Applied Economics for Tourism
Economic Issues Report
Jessica Thomson
S43210338

1.0 Introduction

This economic issues report will outline how the Australian aviation sector influences both the Australian economy and the tourism industry. The report will also highlight how the economic issues of employment, fuel consumption and environmental challenges affect the Australian aviation sector and how these issues relate to the economic principles of supply and demand. The report will briefly explain the background of the Australian aviation sector; identify economic market trends and current opportunities as well as highlight the potential challenges and issues within the sector, relating them to the economic principles and finally discuss recommendations for application to the outlined economic issues.

2.0 Background Information on the Aviation Industry

“Aviation is a major contributor to Australia’s tourism industry. As an island continent with no land borders, Australia relies almost exclusively on air services to bring international visitors to the country, with over 99 per cent of inbound tourists arriving in Australia by air.” (Australia, 2014)

The aviation industry plays a significant role in the Australian tourism industry and it is also central to the Australian economy, with international aviation being a key driver of the Australian economy, supporting the growth of tourism business and trade each year. The Australian aviation industry is

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