FINANCIAL CRISIS’AND ITS IMPACT ON THE TOURIST SECTOR

Abstract

Crises in modern economies are not an unusual phenomenon although each has its own characteristics due to their differences and their causes. Analyzes show that in the future the crises emerging in an economy will flow through the financial markets to the rest of the world by acquiring a global nature. It is therefore important for each country to have buffers and mechanisms to counteract the negatives they generate. The global economic crisis has a negative impact onthe European tourism. This is reflected in a significant drop in prices of tourist services due to shrinking the demand. Tourists' travel is diminishing as a result of job losses and consumer insecurity, as well as the lost capital.