What is the proper policy toward tourists?

What is the proper policy toward tourists?
By: Marginal Revolution Posted On: April 24, 2024 View: 11

That is the topic of my latest Bloomberg column, basically you should charge them fees rather than discourage them through other means>  Here is one excerpt:

By this reasoning, the Japanese decision to raise bullet train prices for tourists is exactly the right approach. In the meantime, the Japanese government, which faces high pension costs, has more money at its disposal. There is no need to resent or otherwise restrict the tourists at all, and indeed I have found the Japanese people to be extremely gracious and helpful to foreigners. Higher prices for tourist train tickets will make it easier for them to stay this way.

If there is any problem with Venice’s five-euros-a-day charge, it is that it is not nearly high enough, given crowding and accumulated wear and tear on the city. How about 50 euros? But with a smile!

The same goes for the bus in Barcelona: Why not raise the fare? Just for tourists. It is easy enough to (partially) enforce this differential treatment with spot checks on the bus line. An alternative or possible complement to this plan is to run more buses to the park, to alleviate congestion. Higher fees for tourists can help pay for them.

Here is an interesting problem:

Amsterdam has a more difficult challenge. Barcelona and Venice have some unique attractions and sites that can be priced at higher levels, with exclusion applied to non-payers. In contrast, for many Amsterdam tourists the attractions are booze, pot and sex, all of which have prices set in basically competitive markets. I’m all for more expensive tickets to the Rijksmuseum, but that might not make much of a difference to Amsterdam’s “party tourism” problem.

Worth a ponder.

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