BHosp 2 - 2022

The course explains economics in general and how macroeconomics impacts the hospitality and tourism sector globally and locally. The models and approaches used in economics, the supply and demand models are explained as well as how these models are utilised by economists to make certain predictions in the economy.  The reading and drawing of supply and demand curves are taught as well as the impact of monetary policy and fiscal policy in the economy is explained and how these policies shape and structure management decisions. Concepts such as economic growth, the gross domestic product, and the role of inflation, unemployment, exchange rate, and the impact of these on the economy worldwide, but more specifically in South Africa within hospitality and tourism. Specific concepts within macroeconomics such as the objectives/variables of macroeconomics such as the laws of diminishing returns and marginal utility are addressed and how it impacts the hospitality service providers is unpacked and explained. The exchange rate system and how the rate affects tourism traffic are covered.