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In a world that is more competitive on a global scale, technologically advanced and demanding than ever before, global situations such as climate change, poverty and inequality, health, migration or security are challenging for decision-makers in political, social or environmental contexts. The interplay of these and other tendencies is referred to as wicked problems, as their increasing complexity can often not be understood or distinguished anymore. Too many different crises, such as climate, economic, political or societal crises, are challenging the vulnerability and resilience of political, economic and community-based systems. Accordingly, focussing on battling single challenges without considering the bigger picture or interconnected processes or circumstances has not led to satisfactory results throughout the past decades. In a tourism industry that is traditionally closely interlinked with numerous sectors or stakeholder groups and therefore often associated with these problems, those in responsibility are particularly required to consider various interests and utilise the synergy potentials between the tourism and non-tourism sector. Accordingly, integrative tourism policy-making needs to include many political areas that are relevant within tourism as well as beyond, such as urban or regional development. As a holistic spatial development approach, the ‘ecosystem of hospitality’ (EoH) can facilitate the identification of interfaces between tourism and these political areas and help to foster a cross-stakeholder collaboration.

The COVID19 crisis has thrown wide open the debate on Europe’s Economic and Monetary Union’s (EMU) future. Next Generation EU (NGEU) has broken the stalemate over a central fiscal capacity. The open question is whether NGEU is a one-off or a first step. The suspension of the Stability and Growth Pact has given new urgency to the debate on reforming EMU’s fiscal rules.

There is no debate as yet about how these two prospects relate to each other. This paper argues that a permanent fiscal capacity and revised rules should be seen as alternatives.

This study makes two claims: first, a fiscal capacity renders a reformed pact unnecessary and second, that is an optimal solution politically. A fiscal capacity would provide an efficient asymmetric shock absorber and therefore reduce the need for pre-emptive action against negative cross-border externalities. It would also provide an abundant supply of an EU-wide safe asset around which to structure the EU’s financial system, thus rendering unnecessary the backstopping of member states' debts.

This would restore democratic accountability while eliminating moral hazard and enforcement problems.

According to Head (2008), wicked problems are not just wicked problems in the sense of complex challenges, but situations that are confusing, unique, diffuse, without clear responsibilities or accountabilities, and difficult to resolve. These problems stand out for their uncertain nature, lack of clear solutions and possible irreversible consequences of attempted interventions. Recognising the pertinence of wicked problems in contemporary public policy discourse, this chapter aims to explore and better understand political decision-makers’ handling of these issues, in a tourism-specific context. The discourse on wicked problems, in accordance with 10 characteristics outlined by Rittel and Webber (1973), remains relevant when examining policy responses to mega trends, such as indigenous disparities, sustainability, digital transformation and demographic change. Against this backdrop and positioned within current academic discourse, this introductory chapter briefly foreshadows the volume’s various contributions by academics from around the world who present a wide range of wicked problems in tourism from their respective perspectives and contexts.

It is widely agreed that transformation processes that are triggered by crisis events can challenge conventional behavioural norms and stimulate new ideas and innovations that can assist in the preparations for future challenges. This impetus for transformation processes not only applies to the COVID-19 pandemic, but has also been seen in many other instances, such as the Global Financial Crisis in 2008 or the 2011 Fukushima nuclear disaster, which have sparked significant socio-political change processes often with a global reach. The multitude of wicked tourism policy problems discussed in our book often occur in parallel, are of growing complexities, are often not well understood and indistinguishable from one another and exert pressure on the resilience of vulnerable political, economic and community-based systems. These circumstances often present as tipping points which can trigger necessary long-term transformations. However, this process of long-term change must be well planned and strategically implemented. Thus, future transformative destination management should be built on a holistic approach, underpinned by adaptive political leadership in which tourism is not only seen as a driver for economic growth and employment, but as a strategy which successfully integrates social, cultural and ecological goals.

The functionalities of tourist destinations as regional innovation systems (RIS) still show substantial deficits. Especially for destinations in developing countries (DC), this incurs a wicked problem when it comes to unfolding the potentials of tourism for social innovation and sustainable regional development. Determining factors for these weaknesses are manifold, complex, multi-causal and prone to inherent system-dynamics making it difficult for destination management organisations to proactively monitor and control them in the long term. Backed by empirical comparative findings from rural destinations in Azerbaijan and Ecuador, this chapter tracks down selected major drivers of this wicked problem both from a monocausal-linear and multi-causal-dynamic analytical perspective. As a primary outcome, a set of suitable indicators will be presented to serve as a monitoring framework for a social innovation governance of DC destinations.