Abstract
Idaho’s Teton region is one of the crown jewels of the West—an outdoor recreation area with the spectacular backdrop of the Teton Range and the gateway to Grand Teton and Yellowstone national parks. However, the beauty of the region and the tourist crowds mask the economic drivers of the regional economy.
What is the foundation of the Teton region’s economy? This study seeks to answer by explaining the workings of the economy and by measuring the contributions of different industries to it, including the contributions of tourism and natural amenities.
The economic structure of the region was analyzed using two measures of contributions: gross and economic base. The gross contribution—looking only at the direct economic activity of a particular sector—shows that the trade, government, and service businesses dominate the economy.
In contrast, the economic base contribution—the economic activity of an exporting sector plus its supporting nonexporting sectors—shows that the Teton region’s economy is based on agribusinesses and on a cluster of call centers plus higher education (Brigham Young University–Idaho, or BYU–I), and construction.
Tourism and other amenity-based industries are a minor part of the economic base of the region.