Local Government Subsidy to Tourism and Its Effect in Crisis Situation
Tourism is an extremely sensitive and fragile industry,which is easily affected by various crisis events.Therefore,when encountering a major crisis,local governments often adopt a variety of policies to help tourism enterprises pull through difficulties,but the impact of these policies on tourism enterprises and tourism economy is still unclear.To answer this question,this study used public health crisis events as an example to investigate the effects of different subsidy policies(consumption vouchers,business subsidies,tax incentives,and loan discounts)to find an optimal subsidy model for government under tourism supply chain interruption risks.The results show that the impact of crisis events on supply and demand sides is an important factor in determining the government subsidy policy.Only when the impact of the crisis meets specific conditions,can various subsidies provided by the government revive the economy by stimulating consumer demand.Under different interruption scenarios and limited government budgets,the best subsidy policies to achieve the maximum market consumption are also different.The government should judge whether the crisis events impact and financial budget meet specific conditions,and consider adopting the subsidy scheme of"consumer subsidy"or"tax preference"or"consumer subsidy+tax preference"according to the evaluation results.For tourism retailers and tourism suppliers,no matter what kind of subsidies the government adopts,their profits are higher than those without government subsidies.The above conclusions can be used as a theoretical reference for the government to formulate subsidy policies when the public crisis occurs,and can also be used as a decision-making basis for tourism companies to make product pricing when facing government financial subsidies.
tourism supply chainpublic crisisgovernment subsidiessupply chain interruptionStackelberg game