Sports and economic development

Abstract

Many community leaders believe that sports events such as the Olympics, the World Cup tournament, or a season of games played by a home team generate substantial economic development. Sometimes the benefits are thought to extend to a region and sometimes to a smaller area such as a downtown (town centre). Community leaders often claim that sports activities can turn around run-down areas as well as transform a city’s image. These claims have a common sense appeal given the spending that takes place when millions of fans attend matches. As a result, numerous cities and countries have used taxes to build facilities for teams or to attract events such as the Olympics and the World Cup.