Sports Stadium Research Paper

568 Words2 Pages

Building a sports stadium can increases aggregate demand of the economy, creating a new jobs. Based on those effects, this could lead to an economic growth and economic development. Building a stadium also can increase competition, and open new business opportunities and the total income of the city.
In the past 15 years this type of question have become quite prevalent amongst economists with the resent boom of stadium and arena construction. The enormous amount of money that it takes to build these Stadiums and that the over-whelming majority of these stadiums to be built with Public funds. In fact, Almost 80 percent of all major league facilities have been built by Government funds, ranging from 90 percent of all stadiums used by the NFL. The NBA arenas Local, …show more content…

Attractive stadiums and higher revenues increase the market value of teams. Games attract people to the place where the home team plays, generating customers for all kinds of business. This all comes from everywhere to watch games. Direct economic benefits include rent on an arena or stadium, income from suites and other preferred seating, parking fees, concession sales, jobs with teams, local purchases by teams, and tax revenues. The Indirect benefits, which typically account for a substantially larger share of the overall economic benefits, encompass general economic activity such as spending on food, lodging and transport. Studies rest heavily on assumptions with lots of guesstimates; further muddying the waters is the fact that most of the guesstimates are made by or for interested parties. Estimates of economic impact vary considerably among places and sports. Building stadiums are drawing visitors to spend money on local hospitality, food, and shopping outlets. Landing a national conference in the city can mean millions of dollars dropped into the local economic pot within a few

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