In this activity you will research estimates of the economic impact of professional sport franchises. You will explain how people use estimates of the economic impact of sports to support/oppose public subsidies for stadium construction. You will evaluate estimates of the economic impact of professional sports.
Go to http://www.planning.unc.edu/courses/261/narcowich/261revu.htm for arguments opponents and proponents of subsidies use citing the economic impact of sports teams on a community to justify their position.
Answer the following questions based upon the reading:
What are some of the "economic impact" arguments against the public financing of stadiums and franchises?
What are some of the "economic impact" arguments for the public financing of stadiums and franchises?
How many jobs will be created through a new infrastructure or franchise development plan according to Richard Dye?
What are some of the non-financial benefits of local professional sports franchises?
Go to http://www.thesportjournal.org/2002Journal/Vol5-No3/econimic-values.asp for an example of the range of estimates of the economic impact of sport franchises.
What are two crucial factors over which the controversy of economic impact is centered?
How can the multiplier effect distort the estimated impact of professional sports teams?
Write a newspaper article or create a radio or television news report on the range of estimates and explain why economists believe the economic impact of sport franchises is small.
Now go on to Part 3