Do We Need an Economic Impact Study or a Cost-Benefit Analysis of a Sports Event?

Abstract

In this paper, we try to show, using a simple numerical example of a fictional international sports event, that there is a fundamental difference between what is generally called an economic impact study of a sports event and a cost-benefit analysis. The difference is important because an economic impact study does not yield any argument for the government to subsidize the event. Only a cost-benefit analysis can provide the necessary information.

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