This sign outside Monson warns Appalachian Trail hikers that they are about to enter the dreaded 'Wilderness.'

Tourists, especially in remote or rural areas, can have a significant economic impact on a town or local populace.

The money they spend in restaurants, motels and shops create direct, indirect and induced economic impact in the same way that of any export of a good or service to consumers, according to a study by the University of Maine.

Bergstrom et. al. (1990: 30) explains this concept as it applies to recreation:

“The direct and indirect effects of recreational spending result in an overall increase in the production and distribution of goods and services in a rural area. This increase in economic activity results in increased employment and household income. Increases in household income, in turn, increase consumer demand for goods and services. … In order to meet this increased demand, even more multiple-round purchases of inputs will be stimulated. Economic activity stimulated by increased consumer purchases are the induced effects of recreational spending on the rural area economy.”