by Wolf Richter
Wolf Street
Other places so dependent on tourism face a similar fiasco. But Macau had already been badly hit by China’s crackdown on corruption and capital flight.
Just how hard economies that mostly depend on tourism – and everything related to it – have gotten hit from the Chinese travel restrictions, and from travel restrictions more broadly, is exemplified by Macau whose economy depends largely on gaming: Not only gaming revenues, but also hotel bookings, restaurants, entertainment, fancy retail shops for tourists, money laundering services and other financial services, etc., plus all the secondary and tertiary activity associated with them, such as the salaries spent by employees for food and rent and what not, and how this money then circulates.