Dependency and development in northern Thailand

Critics of tourism as a tool for development in poor rural regions have frequently used the dependency theory to examine why a destination area remains underdeveloped. Applications of the dependency theory have been largely restricted to international scales; there is a dearth of studies conducted at smaller spatial scales. This study examines leakages of tourism revenues at four villages in Northern Thailand to illustrate the dependent relationship between a city and its rural hinterland. Study results are based on a survey of 43 small businesses and 40 interviews. Results indicate significant proportion of leakages of village revenues, between 15 and 61%, depending on several factors and strategies adopted by each village.