The purpose of this paper is to analyze the growth elasticity of the tourism industry in Kangwon Province. In order to understand the resent growth of this industry in Kangwon area author tried to define newly the concept of tourism industry, categolizing the several tourism industries more systematically. The results was found from the analysis that the growth elasticity of the tourism industry is higher growing industry than any other one, such as the mining and the manufacturing industry. The growth elasticity of the tourism industry from 1988 to 1990 was found 0.9, and from 1990 to 1992 it jumped to 3.23. This means that an increase of 1% per capita income in Kwangwon Province gaines also the value added per capita in the tourism industry from 0.9% in 1990 to 3.23% in 1992. Therefore the tourism industry contributes greatly to the expansion of income of that local people. In conclusion, author would suggest that not only the central & local goverment but the enterprises should encourage to invest more to the tourism industry than any other one, and to allot resources efficiently in the tourism industry.