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The government of Iran is targeting to increase inbound tourists to 20 million by the year 2024. However, the shortage of human resources in the tourism industry is identified as one of the most critical obstacles that can prevent the achievement of this target. The main objective of this study is to forecast manpower requirements of the Iranian tourism industry in one decade. Two factors that may contribute to the problem of labor shortage are the lack of trained manpower and mismatch in the labor market. This research employed a combination of the input-output analysis and the data envelopment analysis to forecast the required manpower in the year 2014. The national input-output table for the year 1999 was update to year 2004 by using RAS method. Research findings show that transportation sector which is an important sector in tourism is a key sector in Iran's economy. There is at least 17.19% inefficiency in the labor market arising from labor mismatch in the market. The total amount of new manpower requirement is 2,221,177 people of which 78% is required by tourism related sectors for overall international inbound tourists and the labor market is in current inefficient situation. If the tourist come from the developed countries with higher final demand, or come from developing countries with lower final demand, the total manpower requirement will equal to 3,172,413 and 1,321,462 people respectively. 76% of total forecasted manpower is required by the tourism related sectors. Adjusting labor market inefficiencies will mean that all forecasted required manpower will decrease as much as 32.8%. In tourism industry, the shortage of skilled and educated manpower is more serious than the other economic sector
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