Tourism and regional development in the Brazilian Northeast

This article aims to estimate the economic impacts of expenditure on tourism in the Brazilian Northeast and its effects on the states' productive structure and regional inequalities. We use an interregional input-output matrix for the nine northeastern states and the rest of Brazil. The main results show that tourist expenditure in the Northeast was responsible for a 3.9% increase in the Northeast's gross domestic product (GDP). Additionally, the sectorial analysis indicated significant spillover effects to the rest of Brazil, especially from manufacturing industries. On the other hand, tourist spending contributed to reducing regional inequalities.