Can cheap fares boost Australian tourism?
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After much lobbying by the ailing travel industry, the government has announced today a $1.2 million air travel subsidy package in an attempt to boost tourism.
By slashing ticket prices to thirteen tourist destinations including Alice Springs, Kangaroo Island, and the Gold Coast, the government hopes that Australians who would typically travel overseas will instead take advantage of these subsidies and travel within Australia.
Although there has been significant support within the tourism industry there are also concerns that the scheme is shortsighted and the benefits won’t reach many Australians working in tourism, arts, entertainment, and recreation.