Economic leakages in tourism: A comprehensive review of theoretical and empirical perspectives

Abstract

Economic leakages in tourism are an under-researched area that requires special emphasis from the tourism academia. Leakages persist in a destination and obstruct the economic development of the region. Though mainstream literature highlighted more about the positive side of tourism development, relatively limited literature discussed about leakages. This study critically examines the existing body of knowledge on economic leakages in tourism destinations in order to ascertain the current status of the research and identify any knowledge gaps. This study thoroughly examined theoretical and empirical data on economic leakages in tourism destinations and identified directions for future research. This study further goes into detail on how crucial leakage mitigation is to establishing resilience and self-sufficiency while rebuilding tourism destinations after the pandemic. Finally, theoretical and practical implications are provided.