Why have you heard of Green Bay, Wisconsin? The Green Bay Packers.
The location of a sports team and their stadium affects a community. Some say, though, that the affect is negative. New Jersey currently has a big problem with a stadium that without a team. Now empty, the arena still needs tax payers to pay its bills. Sports economist Zimbalist says that the added business created by a sports arena never really existed. Salaries leave town. Sales that shifted near the stadium were lost elsewhere.
Still though, told that a city will get a sports franchise if it just pays the bills, most cities say yes. Told that the Super Bowl is coming to town, most are delighted.
That leaves us discussing cost and benefit. If the dollar benefit couldnindeed be absent, then why are we so plased?
The Economic Lesson
I suggest using an opportunity cost grid to decide the benefits ands benefits foregone from events and teams selecting your locale.Read More