The Local Context of a Sports Strategy for Economic Development

Three streams of research offer results in conflict with the conclusion that governments that provide tax dollars to build sports facilities are wasting money. Hamilton and Kahn and Rosentraub and Swindell found instances where the value placed on the intangible benefits of teams could exceed the co...

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Published inEconomic development quarterly Vol. 20; no. 3; pp. 278 - 291
Main Author Rosentraub, Mark S.
Format Journal Article
LanguageEnglish
Published Thousand Oaks, CA SAGE Publications 01.08.2006
SAGE PUBLICATIONS, INC
Subjects
Cost-benefit analysis
Development studies
Economic development
Economic impact
Local economy
Professional football
Public infrastructure
Public investment
Regression analysis
Sports
Sports facilities
Studies
U.S.A
Cleveland Ohio
United States > US
economic development
professional sports
downtown development
negotiating strategies
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Abstract Three streams of research offer results in conflict with the conclusion that governments that provide tax dollars to build sports facilities are wasting money. Hamilton and Kahn and Rosentraub and Swindell found instances where the value placed on the intangible benefits of teams could exceed the cost of facilities. Carlino and Coulson's analysis indicated the presence of a National Football League franchise accounted for an 8% increase in rent levels, and Santo's work, also using regression models, found regions with teams and new facilities had higher income levels. Despite possible regional gains, the value of a sports investment rests on its context and the outcomes for the city and county that invested in the facilities. This analysis focuses on the outcomes for Cleveland and then offers a framework to assess the range of economic effects on investor communities.
AbstractList Three streams of research offer results in conflict with the conclusion that governments that provide tax dollars to build sports facilities are wasting money. Hamilton and Kahn and Rosentraub and Swindell found instances where the value placed on the intangible benefits of teams could exceed the cost of facilities. Carlino and Coulson's analysis indicated the presence of a National Football League franchise accounted for an 8% increase in rent levels, and Santo's work, also using regression models, found regions with teams and new facilities had higher income levels. Despite possible regional gains, the value of a sports investment rests on its context and the outcomes for the city and county that invested in the facilities. This analysis focuses on the outcomes for Cleveland and then offers a framework to assess the range of economic effects on investor communities.
Three streams of research offer results in conflict with the conclusion that governments that provide tax dollars to build sports facilities are wasting money. Hamilton and Kahn and Rosentraub and Swindell found instances where the value placed on the intangible benefits of teams could exceed the cost of facilities. Carlino and Coulson's analysis indicated the presence of a National Football League franchise accounted for an 8% increase in rent levels, and Santo's work, also using regression models, found regions with teams and new facilities had higher income levels. Despite possible regional gains, the value of a sports investment rests on its context and the outcomes for the city and county that invested in the facilities. This analysis focuses on the outcomes for Cleveland and then offers a framework to assess the range of economic effects on investor communities. [PUBLICATION ABSTRACT]
Author Rosentraub, Mark S.
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professional sports
downtown development
negotiating strategies
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SubjectTerms Cost-benefit analysis
Development studies
Economic development
Economic impact
Local economy
Professional football
Public infrastructure
Public investment
Regression analysis
Sports
Sports facilities
Studies
U.S.A
Title The Local Context of a Sports Strategy for Economic Development
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