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: The influx of luxury tourism in island paradises has been shown to substantially increase local economic activity. For instance, in Bali, Indonesia, the tourism industry contributes significantly to the local GDP. However, this economic boom comes with a price. The rapid growth of tourism has led to increased costs of living for locals, with housing prices skyrocketing due to purchases by foreign investors looking to capitalize on the tourism market. This displacement of locals can undermine the social fabric of these island communities.

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