BVJ injects millions into AB Economy
BVJ injects Millions into Provincial Economy
By Laurie Callsen / Camrose Canadian
The Big Valley Jamboree has shown it is worth millions, according to an economic impact report.
The report, submitted to Alberta Tourism, Parks And Recreation by Econometric Research Limited, noted the variety of ways the Big Valley Jamboree has affected Camrose and area's economy.
Dr. Atif Kubursi, economics professor at McMaster University, presented the report to stakeholders June 27. He noted that of the 21,912 BVJ attendees in 2011, over 20,500 were Albertans and mostly from outside the Camrose area.
"This is perhaps one of the most important advantages of tourism is that it brings new money into the community. This new money is coming from people and from an area that they may not have come in the absence or when there is no Big Valley Jamboree," said Kabursi.
The economic impact of the festival is measured through Alberta's Gross Provincial Product (GPP), province-wide employment, wages supported by the festival, the tax base and the tourism base.
"These 21,912 people who have come here have spent quite a bit of money and what we're trying to see is to what extent that this money has created a ripple effect," he said.
The GPP's value-added income - the net output created by the expenses - increased by over $16 million because of BVJ. More than 235 full-time equivalent jobs are sustained through the tourism and operational expenditures of the festival.
"How does this sustain employment? This activity doesn't happen only once. Every year it comes to Camrose and what we try to do as much as possible to see that this amount of income is also supported by economic activity and this economic activity will also support jobs," said Kabursi.
The BVJ economic impact reaches further than just Camrose. More than $5.8 million in tax revenue was seen by all three level of governments combined, with the federal government receiving more than $3 million.
"There is an indirect relationship that we typically capture. When people come here and spend money, it raises the income level. It allows businesses to hire more people, and there is a direct relationship through wages and value of property. And this relationship between wages and property value ultimately is captured by local government."
Kubursi also noted that the longer tourists stay at a festival, the more money is spent. BVJ creates more of an economic boost considering that it's a four-day event rather than a one-night only show.
The research was conducted through on-site interviews during the 2010 BVJ festival to understand spending habits and to determine where the tourists were from.