Economic Impact Of A Sports Facility

Feasibility studies need to carry out feasibility studies to determine the community's concern for the facility before deciding on the economic impact of the facility. The purpose of the feasibility study is to "provide research information on communities, special interest groups, and their use as a community decision-making tool" (Farmer, Montgomery, Ammon, Jr. 12). In short, this research is to ensure that the establishment of sports facilities is correct and that their money is not wasted.

The research of Robert Baade and Victor Matheson examines the development of sports facilities over the past two centuries and the possibility of professional sports to promote regional economic growth. They point out that reports of economic impact of sustained flaws are producing false expectations and that low profits are indeed standards for the construction of stadiums with public funds. Like most economists, Baade and Matheson thought "I can not see an unusual or economical increase in ornamental sports." deMause and Cagan have thoroughly studied the origin of the stadium phenomenon by public funds and the promoting factors of its spread. They discovered various modes that franchisees use to secure taxpayers' funds.

The slogan of the new stadium campaign in San Francisco 49ers shows economic reasons for the city's motivation to provide grants to sports facilities. First, the construction facility carried out construction work. Secondly, people who participate in the game or work in the team will create new expenditure in the community and expand local employment. Third, in order to further increase local expenditure and employment opportunities, the team attract tourists and companies to the host city. Finally, all of these new expenditures have a "multiplier effect". Because the increase in local income brings more new expenditure and job creation. The proposer believes that the new stadium has stimulated economic growth so that it can raise funds on its own. Subsidies are offset by ticket, franchise, and sales taxes on other costs outside the stadium