Publicly subsidized sports events and stadiums: Have economists done justice to the impact on inequality?

Abstract

Purpose

The purpose of this paper is to review the economics literature of publicly subsidized sports stadiums and mega-events. Let it be noted, however, that the author was unable to find any substantial economics literature in terms of how publicly funded stadiums and events affect income and wealth inequality.

Design/methodology/approach

This paper was designed for coherent legibility with the intention of reviewing economic literature on the effects of publicly funded sports stadiums and events. However, upon investigation it was found that there is a surprising dearth of relevant literature pertaining to the implications of publicly funded stadiums and sports events and their effects on income and wealth inequality.

Findings

Although the author discovered research performed by non-economists, they were unable to find research wherein economists explicitly investigate the impact of stadium subsidies on income and wealth inequality.

Social implications

The social implications of publicly funded sports-related constructions and events, though surprisingly under-reported by economists, can be startlingly extensive in terms of sheer numbers. In all, 1.5 million individuals were purportedly displaced in order to make room for the 2008 Summer Olympics in Beijing. In total, 250,000 people were likewise forced to move in order to accommodate the 2014 World Cup in Brazil. These numbers warrant further investigation by economists.

Originality/value

The author was unable to find any literature pertaining to the effects on income or wealth inequality of publicly funded sports stadiums and mega-events. This review would therefore appear to be unique.

Citation

Potter, J.M. (2016), "Publicly subsidized sports events and stadiums: Have economists done justice to the impact on inequality?", Managerial Finance, Vol. 42 No. 9, pp. 879-884. https://doi.org/10.1108/MF-03-2016-0075