Ecotourism in Costa Rica: an economic framework of analysis

Costa Rica is a small Central American nation that has gained an international reputation as a leader in environmental conservation. This has formed the base for its highly successful and lucrative small-scale ecotourism industry. However, there are threats from high rates of deforestation and expanding large scale tourism that is trading on strong environmental credentials. This paper sets out an ecologically sustainable economic framework to firstly examine the Costa Rican experience, and then analyse lessons for general policy development of any ecotourism industry. The analysis is conducted from a political economy perspective on the trade-offs between small-scale and large-scale tourism.