Abstract ：
This paper focuses on two major negative effects of over-tourism caused by excessive tourists overwhelming the capacity of tourist spots. The first is traffic congestion, when a flood of tourists shuts locals out of the public transport system. The second is environmental pollution. Copious tourist trash negatively affects the natural environment and the productivity of the environmentally sensitive agricultural industry. Applying the neoclassical standard economic model, this paper theoretically investigates the economic effects of countermeasures such as a tourism tax and expanding transportation capacity to show the conditions under which those measures will be effective.

Keywords: Over-tourism, Tourism tax, Public transport, Tourist trash JEL Classification: Z30, R40