The Economics of Spring Break

Written by Hope Sheridan (‘26); Edited by Nina Rawal ('27)

As your Instagram feed gets showered with pictures from the DR, Costa Rica, Mexico, and many other warm vacation spots, the question of how this money invested in spring break affects the global economy might come to mind.

 

In terms of the numbers, approximately 1.5 million US college students travel for Spring break each year, and the average college student spends around $1,080 on their Spring break vacations. These vacations end up generating billions of dollars in global economic activity. More notably, for some coastal communities, spring break makes up a significant portion of their annual tourism income. 

 

In the Dominican Republic, Spring break injects millions of dollars into the economy and creates over 800,000 jobs for locals. Spring break in Mexico injects billions of dollars into the economy, and helps with the employment of around 44,000 people in the tourism industry. 

 

But the effects go beyond the tourism industry. For instance, in Miami, Florida, Uber drivers see fares surge when students from across the country visit during Spring break. Additionally, with all the preparation that some people undertake before the week, swimsuits, sunscreen, and party companies see sales skyrocket. This spending will then re-invest itself, creating a temporary boom across many industries. 

While there are all of these booms across different industries, a lot of the locals of many hotspot vacation destinations suffer from inflated prices and crowded amenities. Additionally, environmental concerns arise as beaches become covered in trash.

While Spring break injects a lot of money into local economies, it also presents many challenges. If destinations are somehow capable of creating a proper balance through developing sustainable tourism practices and responsibility managing the boom, spring break can turn into a better situation for both visitors and locals. 

Wharton Women