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The most significant economic change for many countries of the world has been the development of mass tourism since World War II. Tourism is a risky business: capital investment can be considerable, whereas the season in which to recoup expenditure may be short and can be disrupted by economic difficulties within a country and in neighboring countries or by cool, rainy weather in summer. Furthermore, there is fierce competition to attract tourists, not only among different countries but also among the resorts within each country.

Tourism is a growing industry and one of the largest sources of foreign exchange. Enormous sums of money are injected into the economies of some nations by winter and summer tourism. Employment opportunities in the service sector increase substantially. The tourism trade is one of the most important sources of employment and revenue and is served by numerous hotels and boardinghouses, youth hostels, restaurants, and retail businesses. Many cities are also important centers for international conferences and exhibitions.

The number of tourists increases steadily. In some countries, though, tourism has not been at the heart of their economies, so the lack of facilities make travel in them a rugged experience.

Nevertheless, it is becoming a part of governmental policies in those countries to include provisions for paved highways and hotel construction in each successive development plan. Thus, the tourist industry has been actively encouraged by the authorities. Luxury establishments are developed for wealthy foreigners. Many workers find employment in tourism, now continuous through all seasons in many countries, binding the cities’s economies ever more firmly to tourism. Tourism supports the many small businesses that provide food, lodging, fuel, and other supplies and services.