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Measuring the U.S. outdoor recreation economy, 2012–2016
Journal of Outdoor Recreation and Tourism 27 (2019) 100233
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Measuring the U.S. outdoor recreation economy, 2012–2016 ∗
T
Tina Highfill , Connor Franks Bureau of Economic Analysis, U.S. Department of Commerce, 4600 Silver Hill Road, Suitland, MD, 20746, USA
A R T I C LE I N FO
A B S T R A C T
Keywords: Outdoor recreation economy Statistics Value added
This paper summarizes the methodology and results of newly-released federal statistics describing the U.S. outdoor recreation economy. These new statistics show that outdoor recreation represented 2.2% of the U.S. economy from 2012 to 2016, similar in size to the utilities and mining industries. Boating/fishing contributed $38.2 billion to gross output in 2016, followed by game areas (includes golfing and tennis) ($36.3 billion) and RVing ($30.8 billion). Additionally, more than 4.5 million jobs were generated by the outdoor recreation economy in 2016, resulting in $213.6 billion of compensation paid to U.S. workers. These new statistics provide for the first time a comprehensive and consistent measure of the value of outdoor recreation to the U.S. economy. Any future updates to these statistics may consider adding regional data and a longer time series to provide even more meaningful statistics to researchers and policymakers. Management implications: New statistics provide estimates of the outdoor recreation economy from an unbiased source: the outdoor recreation satellite account (ORSA). The ORSA provides a solid framework to measure the outdoor economy and can be used -
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show the significance of the outdoor recreation economy compare its relevance with other economic sectors examine the growth of the outdoor recreation economy over time in a detailed manner pay attention to specific outdoor recreation activities and their respective changes over time.
1. Introduction An accurate measure of the outdoor recreation economy provides valuable information to policymakers to better understand a growing sector of the economy (Lindberg & Fredman, 2015). Previous attempts to measure the outdoor recreation economy have been plagued with issues surrounding the definition of “outdoor recreation” and with creating consistent and clear methodologies (Godbey, 2009, pp. 09–21). To address these issues, the U.S. Bureau of Economic Analysis (BEA) released new statistics in 2018 quantifying the outdoor recreation economy. The new statistics, called the Outdoor Recreation Satellite Account (ORSA), were mandated through the Outdoor Recreation Jobs and Economic Impact Act of 2016 which directed the Department of Commerce to undertake ‘an assessment and analysis of the outdoor recreation economy of the United Sates’ (Sec 2. H.R. 4665, 2016). For the first time, these new statistics provide estimates of the outdoor recreation economy from an unbiased source using a concise definition of outdoor recreation and a transparent methodology. The statistics include 2012–2016 estimates of the outdoor recreation economy's contribution to gross domestic product (GDP), gross output,
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compensation, and employment. These new ORSA statistics show how the outdoor recreation economy contributes to the overall U.S. economy, how those contributions compare to other areas of the economy, and which industries comprise the outdoor recreation economy. A real novelty of the ORSA is the presentation of gross output statistics by type of outdoor recreation activity. This paper summarizes BEA's methodology and the major conclusions of these new statistics. Areas for future improvements of the statistics are also addressed. 1.1. Background Outdoor recreation research often only encompasses traditional outdoor recreation activities, such as hiking and camping, though some studies include more casual outdoor activities, such as gardening and neighborhood walks (Cordell, 2012; Godbey, 2009, pp. 09–21; Nordh, Vistad, Skår, Wold, & Bærum, 2017). Additionally, outdoor recreation research frequently focuses only on specific outdoor recreation activities, such as hunting and fishing, or are limited to single states or regions (Hjerpe, 2018). The variation across activities and definitions, along with the limited scope of many studies, have thus far prevented a
Corresponding author. E-mail address: Tina.Highfi[email protected] (T. Highfill).
https://doi.org/10.1016/j.jort.2019.100233 Received 20 August 2018; Received in revised form 13 June 2019; Accepted 22 June 2019 2213-0780/ Published by Elsevier Ltd.
Journal of Outdoor Recreation and Tourism 27 (2019) 100233
T. Highfill and C. Franks
vehicles and some equipment (for example, bicycles). Fees refer to expenditures on storage and docking, equipment rental, lessons, event admission, insurance, financing, and veterinarian services. The supporting category includes travel and tourism, local trips, construction, and government expenditures. Travel and tourism includes spending on food, beverages, lodging, transportation, souvenirs, and shopping as part of an outdoor recreation trip that takes place at least 50 miles (80.5 km) away from home. Local trips include spending on food, beverages, lodging, transportation, souvenirs, and shopping that occurs during a local outdoor recreation trip of less than 50 miles from home. Note, fuel used to operate recreational vehicles (such as boats and RVs) is included in the core goods and services for those activities while fuel used to travel to outdoor recreation locations is included in the relevant supporting categories. Construction includes spending on outdoor recreation structures, such as tennis courts and bike trails. Government expenditures include federal, state, and local government spending that support outdoor recreation activities, such as maintaining hiking trails in a national park. For each good or service chosen from the supply-use tables, the share of gross output specific to outdoor recreation had to be determined. For many of these items, such as fishing rods and guided tours, the entire value of the item was included in the ORSA. However, many recreational goods and services can also be used for indoor recreation or for non-recreational purposes. A variety of data sources were used by BEA to find the share of output specific to outdoor recreation (Highfill et al., 2018,2018a). Many private industry reports were used, such as a survey commissioned by PeopleForBikes that shows the percentage of people who ride bicycles for recreation versus solely for commuting (Corona Insights, 2017). Proprietary retail sales data were also used to determine spending for many water and winter activities, such as snorkeling and skiing. Participation rates commissioned by the Physical Activity Council and the Outdoor Foundation were also used to distinguish between indoor and outdoor use of goods and services for activities that occur in both settings, such as soccer (Synovate/IPSOS, 2016). Information from the U.S. Department of Transportation's Federal Highway Administration 2009 National Household Travel Survey (NHTS) was used to determine the portion of travel related to outdoor recreation trips. Construction spending came from a special Census Bureau tabulation on the value of construction put-in-place for outdoor recreation structures, such as marinas and tennis courts. Federal government spending on recreation encompasses expenditures by federal agencies that serve as stewards of public lands and waterways, specifically, the U.S. Army Corps of Engineers, Department of Agriculture, Department of the Interior, and National Oceanic and Atmospheric Administration. Data on this spending are available as part of each agency's budget or from existing reports from the agencies. State and local government spending is available from internal BEA data as part of the classification of the functions of government.
comprehensive analysis of the entire U.S. outdoor recreation economy. The new ORSA statistics attempt to address issues in past outdoor recreation economic research by using a well-defined framework to estimate the total economic impact of outdoor recreation on the U.S. economy. Highlighting outdoor recreation activity in the economy through the ORSA allows policy- and decision-makers to better understand the size and growth of outdoor recreation and to make informed decisions regarding development and regulation related to land management and investment in outdoor recreation activities. Although the value of the outdoor recreation economy is already embedded in BEA's economic statistics for the U.S., those data are presented using traditional industry classifications, such as manufacturing and accommodations. Because outdoor recreation activities span many industries, the ORSA allows BEA to isolate the outdoor recreation activity within these industries. BEA also produces satellite accounts for other areas of the economy that span multiple industries, including travel and tourism (TTSA) and arts and cultural production (ACPSA). As with these other satellite accounts, BEA will continue to update the statistics annually if funding continues. 2. BEA’s methodology 2.1. Defining outdoor recreation To bridge the gaps between the various definitions of outdoor recreation in past literature, the ORSA was designed to capture both the conventional and comprehensive viewpoints of outdoor recreation. The conventional definition reflects more traditional outdoor recreation activities, such as hunting, hiking, camping, and fishing. More formally, conventional outdoor recreation is defined by BEA as “all recreational activities undertaken for pleasure that generally involve some level of intentional physical exertion and occur in nature-based environments outdoors” (Highfill, Franks, & Georgi, 2018). The comprehensive definition attempts to encompass the broader viewpoint of outdoor recreation, which includes activities such as walking for pleasure and outdoor gardening, and is defined by BEA as “all recreational activities undertaken for pleasure that occur outdoors.” The ORSA incorporates both definitions to offer insight into the two different conceptions of outdoor recreation. The definitions are also dynamic enough to incorporate new outdoor recreation activities as they emerge in the future. The complete list of activities included in the ORSA is outlined in Table 2. 2.2. Data The ORSA statistics originate from BEA's supply-use tables. Supplyuse tables include detailed spending information about all the goods and services produced and used as part of the U.S. economy (U.S. Bureau of Economic Analysis, 2017). The supply-use framework allows BEA to estimate spending within the outdoor recreation economy and track the flows throughout the overall U.S. economy. By using the supply-use framework, the ORSA is grounded in economic realities and related interindustry flows of goods and services. The goods and services ultimately included as part of the ORSA were chosen from BEA's comprehensive list of nearly 5,000 categories of goods and services that comprise the supply-use tables. The chosen commodities fell into two categories: (1) core goods and services purchased directly for outdoor recreation and (2) supporting goods and services that provide access to outdoor recreation. The core category includes gear, equipment, fuel, concessions, maintenance, repair, and fees related to outdoor recreation activities. Gear and equipment include products such as boats, fishing rods, and helmets. Fuel refers to the fuel used to operate recreational vehicles, boats, and planes. Concessions refer to food and drinks sold by outdoor recreation site operators, such as at outdoor sporting events. Maintenance and repair refer to upkeep of outdoor recreation equipment, including recreational
3. Methods Outdoor recreation gross output by industry represents the share of each commodity's gross output that is specific to outdoor recreation for every industry that produces the commodity. BEA statistics use the North American Industry Classification System (NAICS) to classify industries. Gross output of an industry is the market value of the goods and services produced by an industry, including commodity taxes. The components of gross output include sales or receipts, other operating income, commodity taxes, and inventory change. Outdoor recreation value added, employment, and compensation (wages and benefits) by industry is derived from the ratio of an industry's outdoor recreation output to total output. Value added (also known as gross domestic product or GDP) measures the contribution of the industry's labor and capital to its gross output and represents the difference between gross output and intermediate inputs. Intermediate 2
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T. Highfill and C. Franks
Table 1 Outdoor Recreation Gross Output, Value Added, Compensation, and Employment (millions of nominal dollars; employment in thousands).
Gross Output Core Outdoor Recreation Activities Supporting Outdoor Recreation Activities Value Added Compensation Employment
2012
2013
2014
2015
2016
Average Annual Growth Rate
679,386 341,132 338,254 357,446 184,028 4,345
700,298 363,246 337,052 370,286 188,600 4,339
714,396 372,266 342,130 380,409 194,596 4,365
716,073 380,293 335,780 399,918 204,772 4,443
731,364 392,987 338,378 412,013 213,603 4,546
1.9% 3.6% 0.0% 3.6% 3.8% 1.1%
and tourism expenses specifically include food and beverages (groceries and restaurants), lodging, transportation (including fuel used during travel), and souvenirs and shopping. The percentage of travel specific to outdoor recreation was determined using the recreation categories in the NHTS. The ORSA also includes expenses on local trips taken for outdoor recreation purposes. Local trips are defined as travel that occurs less than 50 miles from home. Local trips include spending on the same categories as non-local trips (food, beverages, lodging, transportation, souvenirs, and shopping). The main data sources used to estimate local outdoor recreation trips are the NHTS and BLS Consumer Expenditures Survey and Time Use Survey. The Consumer Expenditures Survey provides detailed spending information separately for trips less than 50 miles from home and for trips at least 50 miles from home, including spending on restaurants, groceries, shopping, lodging, and transportation. For the government spending estimate, the portion of each federal agency's budget that is directly related to supporting outdoor recreation activities is included in the ORSA, outlined in their budget or official reports. State and local government spending represents the entirety of state and local budgets for parks and recreation.
inputs are the foreign and domestically produced goods and services used up by an industry in the process of producing its gross output. Outdoor recreation activity within an industry is assumed to consume the same level of intermediate inputs as the overall industry activity. For example, the intermediate inputs used to produce a backpack for outdoor recreation are assumed to be the same as the intermediate inputs used to create a backpack for all other purposes. This is consistent with the methodology for BEA's other satellite accounts (Kern, Wasshausen, & Zemanek, 2015). Gross output and value added are calculated as nominal (currentdollar) and real (chained-dollar) values. Nominal estimates reflect the current prices and quantities in the period being measured and real estimates are adjusted for inflation to remove the effect of price increases and to isolate quantity increases. In addition to BEA's standard presentation of gross output by industry using NAICS, gross output is also presented by outdoor recreation activity for core goods and services (gear, equipment, fuel, concessions, maintenance, repair, and fees). Activities are split into mutually exclusive categories when source data allowed or are combined into a single category containing related activities. For example, the category climbing/hiking/tent camping was created to avoid double-counting the many items that can be used across these activities. Another example is the category boating/fishing, which was created because of the overlap between these activities. Specifically, past research shows that about half of people who fish do so on boats (U.S. Coast Guard, 2011), and only a small portion of total expenditures by people who fish is spent on fishing equipment (U.S. Department of the Interior, 2016). All activity-specific core goods and services were allocated to individual activities (for example, skis were assigned to skiing). Footwear, equipment bags, uniforms, wet suits, swimsuits, personal safety equipment, and gloves were also allocated to individual activities. In cases where the items were too general to allocate to individual activities, items were separated into a multi-use apparel and accessories category for both the conventional and other definitions of outdoor recreation. This includes coolers, lighting, GPS devices, backpacks, sunscreen, bug spray, watches, sports racks, hydration equipment, and general outdoor clothing. Supporting goods and services (travel and tourism, local trips, construction, and government) for recreational activities overlap for many activities. For example, a single outdoor recreation trip may encompass multiple activities, such as camping, wildlife watching, and fishing. Similarly, construction of outdoor fields and parks supports multiple types of outdoor recreational activities, as do governmentmanaged parks and forests. For this reason, supporting goods and services are not allocated to individual activities and are presented in aggregated supporting outdoor recreation categories. Outdoor recreation travel and tourism expenses were designed to be methodologically consistent with BEA's travel and tourism satellite account (TTSA). The definitions, framework, and estimating methods used for the TTSA follow the guidelines developed by the United Nations World Tourism Organization (WTO) and the Organization for Economic Co-operation and Development (OECD) for similar travel and tourism accounts. Therefore, travel and tourism for outdoor recreation is defined as travel that occurs at least 50 miles from home, corresponding to the definition used in the TTSA. Outdoor recreation travel
3.1. BEA’s results Outdoor recreation accounted for 2.2 percent of current-dollar GDP in 2016 ($412.0 billion; Table 1), larger than both the NAICS mining (1.2%) and utilities (1.6%) industries (U.S. Bureau of Economic Analysis, 2019a). In 2016, the outdoor recreation economy grew 1.7 percent in chained-dollars, faster than the 1.6 percent growth for the overall economy (U.S. Bureau of Economic Analysis, 2019b). For simplicity, the rest of the results section will focus only on the currentdollar (nominal) estimates. To put the values in perspective, we compare the ORSA statistics with the mining industry, which has a similar share of GDP over the period. 3.2. Gross output by activity and industry Total gross output for the outdoor recreation economy was $731.4 billion in 2016, compared to $382 billion in the mining industry (U.S. Bureau of Economic Analysis, 2019c). Fig. 1 shows that gross output for core outdoor recreation is slightly larger than supporting outdoor recreation (46%), which is dominated by travel and tourism. Boating/ fishing contributed $38.2 billion to gross output in 2016 (Table 2; Fig. 2), followed by game areas (includes golfing and tennis) ($36.3 billion), RVing ($30.8 billion), guided tours/outfitted travel ($27.5 billion), and festivals/sporting events/concerts ($26.5 billion). Additionally, travel and tourism ($228 billion) and multi-use apparel and accessories ($92.4 billion) were significant contributors to gross output in 2016. Retail trade was the largest industry within the outdoor recreation economy, accounting for $148.7 billion of gross output in 2016 (Highfill et al., 2018,2018a). 3.3. Value added, compensation, and employment by industry The outdoor recreation economy contributed $412.0 billion to value added (GDP) in 2016 (Table 1). In comparison, the mining industry 3
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Table 2 Outdoor Recreation Gross Output by Category (millions of nominal dollars).
Total Outdoor Recreation Total Core Outdoor Recreation Conventional Outdoor Recreation Bicyling Boating/Fishing Canoeing Kayaking Fishing (excludes Boating) Sailing Other Boating Climbing/Hiking/Tent Camping Equestrian Hunting/Shooting/Trapping Hunting/Trapping Shooting (includes Archery) Motorcycling/ATVing Recreational Flying RVing Snow Activities Skiing Snowboarding Other Snow Activitiesa Other Conventional Outdoor Recreation Activities Other Conventional Air and Land Activitiesb Other Conventional Water Activitiesc Multi-use Apparel and Accessories (Conventional)d Other Outdoor Recreation Amusement Parks/Water Parks Festivals/Sporting Events/Concerts Field Sports Game Areas (includes Golfing and Tennis) Guided Tours/Outfitted Travel Air and Land Guided Tours/Outfitted Travel Water Guided Tours/Outfitted Travel Productive Activities (includes Gardening) Other Outdoor Recreation Activitiese Multi-use Apparel and Accessories (Other)d Supporting Outdoor Recreation Construction Local Tripsf Travel and Tourismg Food and Beverages Lodging Shopping and Souvenirs Transportation Government Expenditures Federal Government State and Local Government
2012
2013
2014
2015
2016
679,386 341,132 208,496 3,411 31,501 117 499 4,810 1,896 24,178 6,536 9,017 9,496 5,180 4,316 18,970 4,335 26,688 10,470 2,829 2,420 5,221 17,065 15,512 1,553 71,009 132,635 14,807 22,122 6,186 31,622 27,256 15,064 12,192 10,104 14,839 5,700 338,254 9,527 72,385 224,902 37,646 46,673 44,365 96,219 31,439 3,947 27,492
700,298 363,246 225,248 3,322 33,023 115 459 5,283 1,974 25,191 6,913 9,614 11,723 6,374 5,348 18,717 4,452 28,428 10,578 2,878 2,498 5,202 17,497 15,900 1,597 80,981 137,998 15,628 23,058 7,010 32,775 28,222 15,966 12,257 10,516 14,997 5,792 337,052 9,423 73,049 222,369 31,711 48,652 45,513 96,493 32,211 4,247 27,965
714,396 372,266 232,546 3,360 34,234 126 512 5,532 2,121 25,942 7,182 10,664 11,821 6,409 5,412 19,047 4,583 30,236 10,847 3,094 2,646 5,107 17,272 15,548 1,724 83,300 139,721 16,555 24,235 7,099 31,756 29,713 17,220 12,493 9,538 15,362 5,464 342,130 9,930 72,934 226,474 33,238 48,565 47,433 97,240 32,791 4,011 28,779
716,073 380,293 234,153 3,330 36,903 131 521 6,522 2,185 27,544 7,619 10,454 13,682 7,493 6,189 18,062 4,154 30,077 10,560 3,314 2,835 4,412 16,038 14,074 1,964 83,274 146,140 18,067 25,697 7,552 33,942 29,326 17,543 11,783 9,728 16,254 5,575 335,780 11,503 65,371 225,330 35,730 52,150 47,416 90,035 33,576 4,036 29,540
731,3644 392,987 243,145 3,480 38,199 135 556 6,360 2,419 28,729 7,756 11,108 14,546 8,024 6,523 19,537 3,932 30,831 10,643 3,378 2,986 4,279 16,591 14,804 1,788 86,520 149,842 19,228 26,481 7,778 36,266 27,543 17,242 10,302 9,932 16,698 5,917 338,378 12,363 63,502 227,959 37,696 54,307 48,549 87,407 34,553 4,247 30,306
Rank for individual conventional activities, 2016
20 26 25 17 23 3 15 10 13 16 5 19 2 21 22 18 9 24
6 4 14 1 7 11 12 8
a
Consists of dog mushing, sleighing, snowmobiling, snow shoeing, snow tubing. Consists of air sports, driving for pleasure, geocaching/orienteering/rock hounding, ice skating, inline skating, land/sand sailing, races, running/walking/ jogging, skateboarding, and wildlife watching/birding. c Consists of boardsailing/windsurfing, SCUBA diving, snorkeling, stand-up paddling, surfing, tubing, wakeboarding, water skiing, and whitewater rafting. d Consists of backpacks, bug spray, coolers, general outdoor clothing, GPS equipment, hydration equipment, lighting, sports racks, sunscreen, watches, and other miscellaneous gear and equipment. e Consists of agritourism, augmented reality games, beachgoing, disc golf, hot springs soaking, kite flying, model airplane/rocket/UAV, paintball, photography, stargazing/astronomy, swimming, therapeutic programs, water polo, yard sports. f Trip expenses less than 50 miles (80.5 km) away from home, including food and beverages, lodging, shopping and souvenirs, and transportation. g Travel and tourism expenses in the outdoor recreation satellite account are consistent with BEA's travel and tourism satellite account, which includes expenses for travel at least 50 miles away from home, including food and beverages, lodging, shopping and souvenirs, and transportation. b
outdoor recreation employment were retail trade (1.4 million jobs) and accommodation and food services (1.1 million jobs) (Highfill et al., 2018,2018a). Average annual compensation of employees in the outdoor recreation economy was approximately $47,300, much lower than average compensation for mining ($125,500) (Highfill et al., 2018,2018a). The relatively low average compensation in the ORSA reflects the lower-paying jobs in the retail trade and accommodation and food services industries that dominate the outdoor recreation economy.
contributed $216.2 billion to GDP in 2016 (U.S. Bureau of Economic Analysis, 2019d). The top industry contributor to outdoor recreation GDP was retail trade, which contributed $89.6 billion, or 21.8 percent, of all activity to the total outdoor recreation economy (Highfill et al., 2018,2018a). Compensation for the outdoor recreation economy in 2016 was $213.6 billion, generating over 4.5 million jobs (Table 1). In comparison, compensation for the mining industry in 2016 was $75.4 billion and generated 601,000 jobs (U.S. Bureau of Economic Analysis, 2018a; U.S. Bureau of Economic Analysis, 2018b). The top two industries for 4
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Fig. 1. Gross Output for Core (Conventional + other) and Supporting Outdoor Recreation, 2016 (Supporting broken out by category type; millions of nominal dollars) 1 Travel and tourism expenses in the Outdoor Recreation Satelite Account are consistent with expenses from the Bureau of Economics Analysis's Travel and Tourism Satelite Account. Travel is defined as trips at least 50 miles (80.5 km) away from home. Travel and tourism spending includes food and beverages (groceries and restaurants), lodging, transportation, and souvenirs and shopping. 2 Local trips in the Outdoor Recreation Satellite Account includes expenses for trips less than 50 miles away from home, including spending on food and beverages, lodging, transportation, and souvenirs and shopping.
4. Discussion
of outdoor recreation on the economy. The ORSA statistics can be used to examine the growth and malleable nature of outdoor recreation over time in a way that was not possible before. Presenting the outdoor recreation gross output statistics by both industry and outdoor recreation activity highlights the complex relationships between outdoor recreation and the various industries of the economy. Additionally, organizations advocating for specific outdoor recreation activities can now have a better understanding of how an activity's economic impact compares with other outdoor recreation activities and how that relationship has changed over time.
The results of the ORSA show that the outdoor recreation economy is a thriving and significant part of the U.S. economy. At 2.2 percent of current-dollar GDP in 2016, the outdoor recreation economy provides comparable value to the U.S. economy as the NAICS mining and utilities industries for the same time periods (U.S. Bureau of Economic Analysis, 2019a). The ORSA provides a level of detail and consistency that previous estimates of the outdoor recreation economy have been unable to capture, representing a new and valuable tool for analyzing the impact
Fig. 2. Gross Output for Conventional Outdoor Recreation Activities, 2016 (millions of nominal dollars) 1 Consists of backpacks, bug spray, coolers, general outdoor clothing, GPS equipment, hydration equipment, lighting, sports reacks, sunscreen watches and other miscellaneous gear and equipment. 2 Consists of air sports, boardsailing/windsurfing, dog mushing, geocaching/orienteering/rock hounding, ice skating, inline skating, land/sand sailing races, running/walking/jogging, SCUBA diving, skateboarding, snokeling, stand-up paddling, surfing, tubing, wakeboarding, water skiing, whitewater rafting and wildlife watching/birding. 3 Consists of skiing, snowboarding, dog mushing, sleighing, snow shoeing, and snow tubing. 5
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Care should be used when examining the results of the ORSA, which is a measure of domestic production of goods and services in the U.S. economy. Other estimates of the outdoor recreation economy often measure consumer spending, such as the report by the Outdoor Industry Association (2017 25 April 2017) which states that consumers spend $887 billion annually in the outdoor recreation economy. Consumer spending includes expenditures on imported goods and services (such as apparel) and will likely have higher estimates than the ORSA. Additionally, other reports may also include spending on goods and services used for purposes unrelated to outdoor recreation, such as reports that include bicycles or motorcycles used for commuting and not for recreation. Another consideration when comparing the ORSA estimates to other outdoor recreation research is the method used for estimating tourism and travel. The ORSA method starts with BEA's existing tourism and travel statistics which defines a trip as travel of at least 50 miles from home, following international guidelines. In the ORSA, a separate line item is included for local trips of less than 50 miles, resulting in all outdoor recreation being counted. For both local and non-local trips, spending on food, accommodations, gas, and souvenirs is captured in the ORSA. This method differs from other research on the subject, which can range from more conservative approaches that include only visitor or non-resident spending (Crompton, 2010; Johnson & Moore, 1993) to more inclusive approaches that include induced or secondary effects of visitors on the local economy (Kumar & Hussain, 2014). The ORSA approach to measuring travel and tourism falls somewhere in between the conservative and inclusive approaches because it does not include induced spending estimates, but it does include spending by local residents. Finally, the ORSA does not attempt to capture the physical health benefits that may be associated with exercise from engaging in outdoor recreation activities (Nordh et al., 2017), the mental health benefits that have been found to be associated with physical exercise in an outdoor environment (Mitchell, 2013), or the environmental, social, and physical benefits sometimes associated with visiting outdoor areas and urban green space (Keniger, Gaston, Irvine, & Fuller, 2013). The measurement of these benefits is outside the scope of the ORSA and any analysis of the outdoor recreation economy using ORSA statistics should take that into account. Similarly, the ORSA does not present estimates of any environmental costs of outdoor recreation activities. Those estimates lay outside the scope of the ORSA in the same way as the non-monetary benefits described above. The ORSA provides a solid framework for future efforts to measure the outdoor recreation economy. By providing concrete definitions for outdoor recreation, while also leaving room to add outdoor recreation activities that emerge in the future, the ORSA lays the foundation for a consistent and comparable set of statistics. The transparency of the methodology used in the ORSA may also benefit future attempts at measuring the outdoor recreation economy within the government, academia, and private sector. However, work can be done to improve the ORSA to make the statistics more meaningful to researchers and policymakers. Providing additional detail about activities, presenting outdoor recreation statistics by state, and extending the time series before 2012 are examples of ways the ORSA may be improved in the future.
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Concepts and methods of the U.S. National income and product accounts. Washington, DC: BEA November 2017. U.S. Bureau of Economic Analysis (2018a). Table 6.2D. Compensation of employees by industry. Release date: July 31, 2018. Accessed June 7, 2019. Found at https://apps. bea.gov/iTable/iTable.cfm?reqid=19&step=3&isuri=1&nipa_table_list=185& categories=survey. U.S. Bureau of Economic Analysis (2018b). Table 6.5D. Full-time equivalent employees by industry. Release date: July 31, 2018. Accessed June 7, 2019. Found at https://apps. bea.gov/iTable/iTable.cfm?reqid=19&step=3&isuri=1&nipa_table_list=197& categories=survey. U.S. Bureau of Economic Analysis (2019a). Value added by industry as a percentage of gross domestic product. Release date: April 19, 2019. Accessed June 7, 2019. Found at https://apps.bea.gov/iTable/iTable.cfm?reqid=51&step=51&isuri=1&5114=a& 5102=5. U.S. Bureau of Economic Analysis (2019b). Table 1.1.1. Percent change from preceding period in real gross domestic product. Release date: May 30, 2019. Accessed June 7, 2019. Found at https://apps.bea.gov/iTable/iTable.cfm?reqid=19&step=3&isuri= 1&select_all_years=0&nipa_table_list=1&series=a&first_year=2015&scale=-99& last_year=2016&categories=survey&thetable=x. U.S. Bureau of Economic Analysis (2019c). Gross output by industry. Release date: April 19, 2019. Accessed June 7, 2019. Found at https://apps.bea.gov/iTable/iTable.cfm? reqid=51&step=51&isuri=1&table_list=15&series=a. U.S. Bureau of Economic Analysis (2019d). Value added by industry. Release date. April 19, 2019. Accessed June 7, 2019. Found at https://apps.bea.gov/iTable/iTable.cfm? reqid=51&step=51&isuri=1&table_list=1&series=a. U.S. Coast Guard (2011). 2011 national recreational boating survey. Found at https://www. uscgboating.org/library/recreational-boating-servey/2012survey%20report.pdf. U.S. Department of the Interior (2016). U.S. Fish and wildlife service. U.S. Department of Commerce, U.S. Census Bureau. National Survey of Fishing, Hunting, and WildlifeAssociated Recreation. Found at https://wsfrprograms.fws.gov/subpages/ nationalsurvey/nat_survey2016.pdf. U.S. Department of Transportation, Federal Highway Administration (2009). National Household travel survey. Found at https://nhts.ornl.gov/2009/pub/stt.pdf.
References Cordell, H. K. (2012). Outdoor recreation trends and futures: A technical document supporting
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Contents lists available at ScienceDirect
Journal of Outdoor Recreation and Tourism journal homepage: www.elsevier.com/locate/jort
Measuring the U.S. outdoor recreation economy, 2012–2016 ∗
T
Tina Highfill , Connor Franks Bureau of Economic Analysis, U.S. Department of Commerce, 4600 Silver Hill Road, Suitland, MD, 20746, USA
A R T I C LE I N FO
A B S T R A C T
Keywords: Outdoor recreation economy Statistics Value added
This paper summarizes the methodology and results of newly-released federal statistics describing the U.S. outdoor recreation economy. These new statistics show that outdoor recreation represented 2.2% of the U.S. economy from 2012 to 2016, similar in size to the utilities and mining industries. Boating/fishing contributed $38.2 billion to gross output in 2016, followed by game areas (includes golfing and tennis) ($36.3 billion) and RVing ($30.8 billion). Additionally, more than 4.5 million jobs were generated by the outdoor recreation economy in 2016, resulting in $213.6 billion of compensation paid to U.S. workers. These new statistics provide for the first time a comprehensive and consistent measure of the value of outdoor recreation to the U.S. economy. Any future updates to these statistics may consider adding regional data and a longer time series to provide even more meaningful statistics to researchers and policymakers. Management implications: New statistics provide estimates of the outdoor recreation economy from an unbiased source: the outdoor recreation satellite account (ORSA). The ORSA provides a solid framework to measure the outdoor economy and can be used -
To To To To
show the significance of the outdoor recreation economy compare its relevance with other economic sectors examine the growth of the outdoor recreation economy over time in a detailed manner pay attention to specific outdoor recreation activities and their respective changes over time.
1. Introduction An accurate measure of the outdoor recreation economy provides valuable information to policymakers to better understand a growing sector of the economy (Lindberg & Fredman, 2015). Previous attempts to measure the outdoor recreation economy have been plagued with issues surrounding the definition of “outdoor recreation” and with creating consistent and clear methodologies (Godbey, 2009, pp. 09–21). To address these issues, the U.S. Bureau of Economic Analysis (BEA) released new statistics in 2018 quantifying the outdoor recreation economy. The new statistics, called the Outdoor Recreation Satellite Account (ORSA), were mandated through the Outdoor Recreation Jobs and Economic Impact Act of 2016 which directed the Department of Commerce to undertake ‘an assessment and analysis of the outdoor recreation economy of the United Sates’ (Sec 2. H.R. 4665, 2016). For the first time, these new statistics provide estimates of the outdoor recreation economy from an unbiased source using a concise definition of outdoor recreation and a transparent methodology. The statistics include 2012–2016 estimates of the outdoor recreation economy's contribution to gross domestic product (GDP), gross output,
∗
compensation, and employment. These new ORSA statistics show how the outdoor recreation economy contributes to the overall U.S. economy, how those contributions compare to other areas of the economy, and which industries comprise the outdoor recreation economy. A real novelty of the ORSA is the presentation of gross output statistics by type of outdoor recreation activity. This paper summarizes BEA's methodology and the major conclusions of these new statistics. Areas for future improvements of the statistics are also addressed. 1.1. Background Outdoor recreation research often only encompasses traditional outdoor recreation activities, such as hiking and camping, though some studies include more casual outdoor activities, such as gardening and neighborhood walks (Cordell, 2012; Godbey, 2009, pp. 09–21; Nordh, Vistad, Skår, Wold, & Bærum, 2017). Additionally, outdoor recreation research frequently focuses only on specific outdoor recreation activities, such as hunting and fishing, or are limited to single states or regions (Hjerpe, 2018). The variation across activities and definitions, along with the limited scope of many studies, have thus far prevented a
Corresponding author. E-mail address: Tina.Highfi[email protected] (T. Highfill).
https://doi.org/10.1016/j.jort.2019.100233 Received 20 August 2018; Received in revised form 13 June 2019; Accepted 22 June 2019 2213-0780/ Published by Elsevier Ltd.
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vehicles and some equipment (for example, bicycles). Fees refer to expenditures on storage and docking, equipment rental, lessons, event admission, insurance, financing, and veterinarian services. The supporting category includes travel and tourism, local trips, construction, and government expenditures. Travel and tourism includes spending on food, beverages, lodging, transportation, souvenirs, and shopping as part of an outdoor recreation trip that takes place at least 50 miles (80.5 km) away from home. Local trips include spending on food, beverages, lodging, transportation, souvenirs, and shopping that occurs during a local outdoor recreation trip of less than 50 miles from home. Note, fuel used to operate recreational vehicles (such as boats and RVs) is included in the core goods and services for those activities while fuel used to travel to outdoor recreation locations is included in the relevant supporting categories. Construction includes spending on outdoor recreation structures, such as tennis courts and bike trails. Government expenditures include federal, state, and local government spending that support outdoor recreation activities, such as maintaining hiking trails in a national park. For each good or service chosen from the supply-use tables, the share of gross output specific to outdoor recreation had to be determined. For many of these items, such as fishing rods and guided tours, the entire value of the item was included in the ORSA. However, many recreational goods and services can also be used for indoor recreation or for non-recreational purposes. A variety of data sources were used by BEA to find the share of output specific to outdoor recreation (Highfill et al., 2018,2018a). Many private industry reports were used, such as a survey commissioned by PeopleForBikes that shows the percentage of people who ride bicycles for recreation versus solely for commuting (Corona Insights, 2017). Proprietary retail sales data were also used to determine spending for many water and winter activities, such as snorkeling and skiing. Participation rates commissioned by the Physical Activity Council and the Outdoor Foundation were also used to distinguish between indoor and outdoor use of goods and services for activities that occur in both settings, such as soccer (Synovate/IPSOS, 2016). Information from the U.S. Department of Transportation's Federal Highway Administration 2009 National Household Travel Survey (NHTS) was used to determine the portion of travel related to outdoor recreation trips. Construction spending came from a special Census Bureau tabulation on the value of construction put-in-place for outdoor recreation structures, such as marinas and tennis courts. Federal government spending on recreation encompasses expenditures by federal agencies that serve as stewards of public lands and waterways, specifically, the U.S. Army Corps of Engineers, Department of Agriculture, Department of the Interior, and National Oceanic and Atmospheric Administration. Data on this spending are available as part of each agency's budget or from existing reports from the agencies. State and local government spending is available from internal BEA data as part of the classification of the functions of government.
comprehensive analysis of the entire U.S. outdoor recreation economy. The new ORSA statistics attempt to address issues in past outdoor recreation economic research by using a well-defined framework to estimate the total economic impact of outdoor recreation on the U.S. economy. Highlighting outdoor recreation activity in the economy through the ORSA allows policy- and decision-makers to better understand the size and growth of outdoor recreation and to make informed decisions regarding development and regulation related to land management and investment in outdoor recreation activities. Although the value of the outdoor recreation economy is already embedded in BEA's economic statistics for the U.S., those data are presented using traditional industry classifications, such as manufacturing and accommodations. Because outdoor recreation activities span many industries, the ORSA allows BEA to isolate the outdoor recreation activity within these industries. BEA also produces satellite accounts for other areas of the economy that span multiple industries, including travel and tourism (TTSA) and arts and cultural production (ACPSA). As with these other satellite accounts, BEA will continue to update the statistics annually if funding continues. 2. BEA’s methodology 2.1. Defining outdoor recreation To bridge the gaps between the various definitions of outdoor recreation in past literature, the ORSA was designed to capture both the conventional and comprehensive viewpoints of outdoor recreation. The conventional definition reflects more traditional outdoor recreation activities, such as hunting, hiking, camping, and fishing. More formally, conventional outdoor recreation is defined by BEA as “all recreational activities undertaken for pleasure that generally involve some level of intentional physical exertion and occur in nature-based environments outdoors” (Highfill, Franks, & Georgi, 2018). The comprehensive definition attempts to encompass the broader viewpoint of outdoor recreation, which includes activities such as walking for pleasure and outdoor gardening, and is defined by BEA as “all recreational activities undertaken for pleasure that occur outdoors.” The ORSA incorporates both definitions to offer insight into the two different conceptions of outdoor recreation. The definitions are also dynamic enough to incorporate new outdoor recreation activities as they emerge in the future. The complete list of activities included in the ORSA is outlined in Table 2. 2.2. Data The ORSA statistics originate from BEA's supply-use tables. Supplyuse tables include detailed spending information about all the goods and services produced and used as part of the U.S. economy (U.S. Bureau of Economic Analysis, 2017). The supply-use framework allows BEA to estimate spending within the outdoor recreation economy and track the flows throughout the overall U.S. economy. By using the supply-use framework, the ORSA is grounded in economic realities and related interindustry flows of goods and services. The goods and services ultimately included as part of the ORSA were chosen from BEA's comprehensive list of nearly 5,000 categories of goods and services that comprise the supply-use tables. The chosen commodities fell into two categories: (1) core goods and services purchased directly for outdoor recreation and (2) supporting goods and services that provide access to outdoor recreation. The core category includes gear, equipment, fuel, concessions, maintenance, repair, and fees related to outdoor recreation activities. Gear and equipment include products such as boats, fishing rods, and helmets. Fuel refers to the fuel used to operate recreational vehicles, boats, and planes. Concessions refer to food and drinks sold by outdoor recreation site operators, such as at outdoor sporting events. Maintenance and repair refer to upkeep of outdoor recreation equipment, including recreational
3. Methods Outdoor recreation gross output by industry represents the share of each commodity's gross output that is specific to outdoor recreation for every industry that produces the commodity. BEA statistics use the North American Industry Classification System (NAICS) to classify industries. Gross output of an industry is the market value of the goods and services produced by an industry, including commodity taxes. The components of gross output include sales or receipts, other operating income, commodity taxes, and inventory change. Outdoor recreation value added, employment, and compensation (wages and benefits) by industry is derived from the ratio of an industry's outdoor recreation output to total output. Value added (also known as gross domestic product or GDP) measures the contribution of the industry's labor and capital to its gross output and represents the difference between gross output and intermediate inputs. Intermediate 2
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Table 1 Outdoor Recreation Gross Output, Value Added, Compensation, and Employment (millions of nominal dollars; employment in thousands).
Gross Output Core Outdoor Recreation Activities Supporting Outdoor Recreation Activities Value Added Compensation Employment
2012
2013
2014
2015
2016
Average Annual Growth Rate
679,386 341,132 338,254 357,446 184,028 4,345
700,298 363,246 337,052 370,286 188,600 4,339
714,396 372,266 342,130 380,409 194,596 4,365
716,073 380,293 335,780 399,918 204,772 4,443
731,364 392,987 338,378 412,013 213,603 4,546
1.9% 3.6% 0.0% 3.6% 3.8% 1.1%
and tourism expenses specifically include food and beverages (groceries and restaurants), lodging, transportation (including fuel used during travel), and souvenirs and shopping. The percentage of travel specific to outdoor recreation was determined using the recreation categories in the NHTS. The ORSA also includes expenses on local trips taken for outdoor recreation purposes. Local trips are defined as travel that occurs less than 50 miles from home. Local trips include spending on the same categories as non-local trips (food, beverages, lodging, transportation, souvenirs, and shopping). The main data sources used to estimate local outdoor recreation trips are the NHTS and BLS Consumer Expenditures Survey and Time Use Survey. The Consumer Expenditures Survey provides detailed spending information separately for trips less than 50 miles from home and for trips at least 50 miles from home, including spending on restaurants, groceries, shopping, lodging, and transportation. For the government spending estimate, the portion of each federal agency's budget that is directly related to supporting outdoor recreation activities is included in the ORSA, outlined in their budget or official reports. State and local government spending represents the entirety of state and local budgets for parks and recreation.
inputs are the foreign and domestically produced goods and services used up by an industry in the process of producing its gross output. Outdoor recreation activity within an industry is assumed to consume the same level of intermediate inputs as the overall industry activity. For example, the intermediate inputs used to produce a backpack for outdoor recreation are assumed to be the same as the intermediate inputs used to create a backpack for all other purposes. This is consistent with the methodology for BEA's other satellite accounts (Kern, Wasshausen, & Zemanek, 2015). Gross output and value added are calculated as nominal (currentdollar) and real (chained-dollar) values. Nominal estimates reflect the current prices and quantities in the period being measured and real estimates are adjusted for inflation to remove the effect of price increases and to isolate quantity increases. In addition to BEA's standard presentation of gross output by industry using NAICS, gross output is also presented by outdoor recreation activity for core goods and services (gear, equipment, fuel, concessions, maintenance, repair, and fees). Activities are split into mutually exclusive categories when source data allowed or are combined into a single category containing related activities. For example, the category climbing/hiking/tent camping was created to avoid double-counting the many items that can be used across these activities. Another example is the category boating/fishing, which was created because of the overlap between these activities. Specifically, past research shows that about half of people who fish do so on boats (U.S. Coast Guard, 2011), and only a small portion of total expenditures by people who fish is spent on fishing equipment (U.S. Department of the Interior, 2016). All activity-specific core goods and services were allocated to individual activities (for example, skis were assigned to skiing). Footwear, equipment bags, uniforms, wet suits, swimsuits, personal safety equipment, and gloves were also allocated to individual activities. In cases where the items were too general to allocate to individual activities, items were separated into a multi-use apparel and accessories category for both the conventional and other definitions of outdoor recreation. This includes coolers, lighting, GPS devices, backpacks, sunscreen, bug spray, watches, sports racks, hydration equipment, and general outdoor clothing. Supporting goods and services (travel and tourism, local trips, construction, and government) for recreational activities overlap for many activities. For example, a single outdoor recreation trip may encompass multiple activities, such as camping, wildlife watching, and fishing. Similarly, construction of outdoor fields and parks supports multiple types of outdoor recreational activities, as do governmentmanaged parks and forests. For this reason, supporting goods and services are not allocated to individual activities and are presented in aggregated supporting outdoor recreation categories. Outdoor recreation travel and tourism expenses were designed to be methodologically consistent with BEA's travel and tourism satellite account (TTSA). The definitions, framework, and estimating methods used for the TTSA follow the guidelines developed by the United Nations World Tourism Organization (WTO) and the Organization for Economic Co-operation and Development (OECD) for similar travel and tourism accounts. Therefore, travel and tourism for outdoor recreation is defined as travel that occurs at least 50 miles from home, corresponding to the definition used in the TTSA. Outdoor recreation travel
3.1. BEA’s results Outdoor recreation accounted for 2.2 percent of current-dollar GDP in 2016 ($412.0 billion; Table 1), larger than both the NAICS mining (1.2%) and utilities (1.6%) industries (U.S. Bureau of Economic Analysis, 2019a). In 2016, the outdoor recreation economy grew 1.7 percent in chained-dollars, faster than the 1.6 percent growth for the overall economy (U.S. Bureau of Economic Analysis, 2019b). For simplicity, the rest of the results section will focus only on the currentdollar (nominal) estimates. To put the values in perspective, we compare the ORSA statistics with the mining industry, which has a similar share of GDP over the period. 3.2. Gross output by activity and industry Total gross output for the outdoor recreation economy was $731.4 billion in 2016, compared to $382 billion in the mining industry (U.S. Bureau of Economic Analysis, 2019c). Fig. 1 shows that gross output for core outdoor recreation is slightly larger than supporting outdoor recreation (46%), which is dominated by travel and tourism. Boating/ fishing contributed $38.2 billion to gross output in 2016 (Table 2; Fig. 2), followed by game areas (includes golfing and tennis) ($36.3 billion), RVing ($30.8 billion), guided tours/outfitted travel ($27.5 billion), and festivals/sporting events/concerts ($26.5 billion). Additionally, travel and tourism ($228 billion) and multi-use apparel and accessories ($92.4 billion) were significant contributors to gross output in 2016. Retail trade was the largest industry within the outdoor recreation economy, accounting for $148.7 billion of gross output in 2016 (Highfill et al., 2018,2018a). 3.3. Value added, compensation, and employment by industry The outdoor recreation economy contributed $412.0 billion to value added (GDP) in 2016 (Table 1). In comparison, the mining industry 3
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Table 2 Outdoor Recreation Gross Output by Category (millions of nominal dollars).
Total Outdoor Recreation Total Core Outdoor Recreation Conventional Outdoor Recreation Bicyling Boating/Fishing Canoeing Kayaking Fishing (excludes Boating) Sailing Other Boating Climbing/Hiking/Tent Camping Equestrian Hunting/Shooting/Trapping Hunting/Trapping Shooting (includes Archery) Motorcycling/ATVing Recreational Flying RVing Snow Activities Skiing Snowboarding Other Snow Activitiesa Other Conventional Outdoor Recreation Activities Other Conventional Air and Land Activitiesb Other Conventional Water Activitiesc Multi-use Apparel and Accessories (Conventional)d Other Outdoor Recreation Amusement Parks/Water Parks Festivals/Sporting Events/Concerts Field Sports Game Areas (includes Golfing and Tennis) Guided Tours/Outfitted Travel Air and Land Guided Tours/Outfitted Travel Water Guided Tours/Outfitted Travel Productive Activities (includes Gardening) Other Outdoor Recreation Activitiese Multi-use Apparel and Accessories (Other)d Supporting Outdoor Recreation Construction Local Tripsf Travel and Tourismg Food and Beverages Lodging Shopping and Souvenirs Transportation Government Expenditures Federal Government State and Local Government
2012
2013
2014
2015
2016
679,386 341,132 208,496 3,411 31,501 117 499 4,810 1,896 24,178 6,536 9,017 9,496 5,180 4,316 18,970 4,335 26,688 10,470 2,829 2,420 5,221 17,065 15,512 1,553 71,009 132,635 14,807 22,122 6,186 31,622 27,256 15,064 12,192 10,104 14,839 5,700 338,254 9,527 72,385 224,902 37,646 46,673 44,365 96,219 31,439 3,947 27,492
700,298 363,246 225,248 3,322 33,023 115 459 5,283 1,974 25,191 6,913 9,614 11,723 6,374 5,348 18,717 4,452 28,428 10,578 2,878 2,498 5,202 17,497 15,900 1,597 80,981 137,998 15,628 23,058 7,010 32,775 28,222 15,966 12,257 10,516 14,997 5,792 337,052 9,423 73,049 222,369 31,711 48,652 45,513 96,493 32,211 4,247 27,965
714,396 372,266 232,546 3,360 34,234 126 512 5,532 2,121 25,942 7,182 10,664 11,821 6,409 5,412 19,047 4,583 30,236 10,847 3,094 2,646 5,107 17,272 15,548 1,724 83,300 139,721 16,555 24,235 7,099 31,756 29,713 17,220 12,493 9,538 15,362 5,464 342,130 9,930 72,934 226,474 33,238 48,565 47,433 97,240 32,791 4,011 28,779
716,073 380,293 234,153 3,330 36,903 131 521 6,522 2,185 27,544 7,619 10,454 13,682 7,493 6,189 18,062 4,154 30,077 10,560 3,314 2,835 4,412 16,038 14,074 1,964 83,274 146,140 18,067 25,697 7,552 33,942 29,326 17,543 11,783 9,728 16,254 5,575 335,780 11,503 65,371 225,330 35,730 52,150 47,416 90,035 33,576 4,036 29,540
731,3644 392,987 243,145 3,480 38,199 135 556 6,360 2,419 28,729 7,756 11,108 14,546 8,024 6,523 19,537 3,932 30,831 10,643 3,378 2,986 4,279 16,591 14,804 1,788 86,520 149,842 19,228 26,481 7,778 36,266 27,543 17,242 10,302 9,932 16,698 5,917 338,378 12,363 63,502 227,959 37,696 54,307 48,549 87,407 34,553 4,247 30,306
Rank for individual conventional activities, 2016
20 26 25 17 23 3 15 10 13 16 5 19 2 21 22 18 9 24
6 4 14 1 7 11 12 8
a
Consists of dog mushing, sleighing, snowmobiling, snow shoeing, snow tubing. Consists of air sports, driving for pleasure, geocaching/orienteering/rock hounding, ice skating, inline skating, land/sand sailing, races, running/walking/ jogging, skateboarding, and wildlife watching/birding. c Consists of boardsailing/windsurfing, SCUBA diving, snorkeling, stand-up paddling, surfing, tubing, wakeboarding, water skiing, and whitewater rafting. d Consists of backpacks, bug spray, coolers, general outdoor clothing, GPS equipment, hydration equipment, lighting, sports racks, sunscreen, watches, and other miscellaneous gear and equipment. e Consists of agritourism, augmented reality games, beachgoing, disc golf, hot springs soaking, kite flying, model airplane/rocket/UAV, paintball, photography, stargazing/astronomy, swimming, therapeutic programs, water polo, yard sports. f Trip expenses less than 50 miles (80.5 km) away from home, including food and beverages, lodging, shopping and souvenirs, and transportation. g Travel and tourism expenses in the outdoor recreation satellite account are consistent with BEA's travel and tourism satellite account, which includes expenses for travel at least 50 miles away from home, including food and beverages, lodging, shopping and souvenirs, and transportation. b
outdoor recreation employment were retail trade (1.4 million jobs) and accommodation and food services (1.1 million jobs) (Highfill et al., 2018,2018a). Average annual compensation of employees in the outdoor recreation economy was approximately $47,300, much lower than average compensation for mining ($125,500) (Highfill et al., 2018,2018a). The relatively low average compensation in the ORSA reflects the lower-paying jobs in the retail trade and accommodation and food services industries that dominate the outdoor recreation economy.
contributed $216.2 billion to GDP in 2016 (U.S. Bureau of Economic Analysis, 2019d). The top industry contributor to outdoor recreation GDP was retail trade, which contributed $89.6 billion, or 21.8 percent, of all activity to the total outdoor recreation economy (Highfill et al., 2018,2018a). Compensation for the outdoor recreation economy in 2016 was $213.6 billion, generating over 4.5 million jobs (Table 1). In comparison, compensation for the mining industry in 2016 was $75.4 billion and generated 601,000 jobs (U.S. Bureau of Economic Analysis, 2018a; U.S. Bureau of Economic Analysis, 2018b). The top two industries for 4
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Fig. 1. Gross Output for Core (Conventional + other) and Supporting Outdoor Recreation, 2016 (Supporting broken out by category type; millions of nominal dollars) 1 Travel and tourism expenses in the Outdoor Recreation Satelite Account are consistent with expenses from the Bureau of Economics Analysis's Travel and Tourism Satelite Account. Travel is defined as trips at least 50 miles (80.5 km) away from home. Travel and tourism spending includes food and beverages (groceries and restaurants), lodging, transportation, and souvenirs and shopping. 2 Local trips in the Outdoor Recreation Satellite Account includes expenses for trips less than 50 miles away from home, including spending on food and beverages, lodging, transportation, and souvenirs and shopping.
4. Discussion
of outdoor recreation on the economy. The ORSA statistics can be used to examine the growth and malleable nature of outdoor recreation over time in a way that was not possible before. Presenting the outdoor recreation gross output statistics by both industry and outdoor recreation activity highlights the complex relationships between outdoor recreation and the various industries of the economy. Additionally, organizations advocating for specific outdoor recreation activities can now have a better understanding of how an activity's economic impact compares with other outdoor recreation activities and how that relationship has changed over time.
The results of the ORSA show that the outdoor recreation economy is a thriving and significant part of the U.S. economy. At 2.2 percent of current-dollar GDP in 2016, the outdoor recreation economy provides comparable value to the U.S. economy as the NAICS mining and utilities industries for the same time periods (U.S. Bureau of Economic Analysis, 2019a). The ORSA provides a level of detail and consistency that previous estimates of the outdoor recreation economy have been unable to capture, representing a new and valuable tool for analyzing the impact
Fig. 2. Gross Output for Conventional Outdoor Recreation Activities, 2016 (millions of nominal dollars) 1 Consists of backpacks, bug spray, coolers, general outdoor clothing, GPS equipment, hydration equipment, lighting, sports reacks, sunscreen watches and other miscellaneous gear and equipment. 2 Consists of air sports, boardsailing/windsurfing, dog mushing, geocaching/orienteering/rock hounding, ice skating, inline skating, land/sand sailing races, running/walking/jogging, SCUBA diving, skateboarding, snokeling, stand-up paddling, surfing, tubing, wakeboarding, water skiing, whitewater rafting and wildlife watching/birding. 3 Consists of skiing, snowboarding, dog mushing, sleighing, snow shoeing, and snow tubing. 5
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T. Highfill and C. Franks
Care should be used when examining the results of the ORSA, which is a measure of domestic production of goods and services in the U.S. economy. Other estimates of the outdoor recreation economy often measure consumer spending, such as the report by the Outdoor Industry Association (2017 25 April 2017) which states that consumers spend $887 billion annually in the outdoor recreation economy. Consumer spending includes expenditures on imported goods and services (such as apparel) and will likely have higher estimates than the ORSA. Additionally, other reports may also include spending on goods and services used for purposes unrelated to outdoor recreation, such as reports that include bicycles or motorcycles used for commuting and not for recreation. Another consideration when comparing the ORSA estimates to other outdoor recreation research is the method used for estimating tourism and travel. The ORSA method starts with BEA's existing tourism and travel statistics which defines a trip as travel of at least 50 miles from home, following international guidelines. In the ORSA, a separate line item is included for local trips of less than 50 miles, resulting in all outdoor recreation being counted. For both local and non-local trips, spending on food, accommodations, gas, and souvenirs is captured in the ORSA. This method differs from other research on the subject, which can range from more conservative approaches that include only visitor or non-resident spending (Crompton, 2010; Johnson & Moore, 1993) to more inclusive approaches that include induced or secondary effects of visitors on the local economy (Kumar & Hussain, 2014). The ORSA approach to measuring travel and tourism falls somewhere in between the conservative and inclusive approaches because it does not include induced spending estimates, but it does include spending by local residents. Finally, the ORSA does not attempt to capture the physical health benefits that may be associated with exercise from engaging in outdoor recreation activities (Nordh et al., 2017), the mental health benefits that have been found to be associated with physical exercise in an outdoor environment (Mitchell, 2013), or the environmental, social, and physical benefits sometimes associated with visiting outdoor areas and urban green space (Keniger, Gaston, Irvine, & Fuller, 2013). The measurement of these benefits is outside the scope of the ORSA and any analysis of the outdoor recreation economy using ORSA statistics should take that into account. Similarly, the ORSA does not present estimates of any environmental costs of outdoor recreation activities. Those estimates lay outside the scope of the ORSA in the same way as the non-monetary benefits described above. The ORSA provides a solid framework for future efforts to measure the outdoor recreation economy. By providing concrete definitions for outdoor recreation, while also leaving room to add outdoor recreation activities that emerge in the future, the ORSA lays the foundation for a consistent and comparable set of statistics. The transparency of the methodology used in the ORSA may also benefit future attempts at measuring the outdoor recreation economy within the government, academia, and private sector. However, work can be done to improve the ORSA to make the statistics more meaningful to researchers and policymakers. Providing additional detail about activities, presenting outdoor recreation statistics by state, and extending the time series before 2012 are examples of ways the ORSA may be improved in the future.
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