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World Cup 2010: South African Economic Perspectives And Policy Challenges Informed By The Experience Of Germany 2006

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  • WOLFGANG MAENNIG
  • STAN du PLESSIS

Abstract

"The paper provides an ex post analysis of the financial burden and economic benefits of the World Cup (WC) in Germany 2006. Based on the usual cost-benefit measures, the experience of WC 2006 appears to be in line with existing empirical research on large sporting events and sports stadiums, which have rarely identified significant net economic benefits. The lessons from Germany 2006 provide a context for analyzing the potential risks and benefits for South Africa (SA), the WC hosts in 2010. For SA, a careful analysis might be even more urgent to assure the sustainability of investment in stadiums. The paper also argues that the "feel-good" and public image effects of sports events should no longer be neglected in cost-benefit studies of large sporting events, even though these effects have the character of experience goods, and their value are thus likely to be underestimated ex ante." ("JEL" L83, R53, R58) Copyright 2007 Western Economic Association International.

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Bibliographic Info

Article provided by Western Economic Association International in its journal Contemporary Economic Policy.

Volume (Year): 25 (2007)
Issue (Month): 4 (October)
Pages: 578-590

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Handle: RePEc:bla:coecpo:v:25:y:2007:i:4:p:578-590

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  1. Coupe du Monde de la FIFA 2014 au Brésil : est-ce vraiment rentable ?
    by julien.moussavi@gmail.com (Julien Moussavi) in BS Initiative on 2014-06-05 08:28:44
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Cited by:
  1. Roberto Gásquez & Vicente Royuela, 2014. "Is Football an Indicator of Development at the International Level?," Social Indicators Research, Springer, Springer, vol. 117(3), pages 827-848, July.
  2. Justina A.V. Fischer & Alfonso Sousa-Poza, 2010. "The Impact of Institutions on Firms’ Rejuvenation Policies: Early Retirement with Severance Pay versus Simple Lay-Off. A Cross-European Analysis," Working Papers 034, Chair for Economic Policy, University of Hamburg.
  3. Andrew K. Rose & Mark M. Spiegel, 2009. "The Olympic effect," Working Paper Series, Federal Reserve Bank of San Francisco 2009-06, Federal Reserve Bank of San Francisco.
  4. Michiel de Nooij & Marcel van den Berg, 2013. "The bidding paradox: why rational politicians still want to bid for mega sports events," Working Papers, Utrecht School of Economics 13-08, Utrecht School of Economics.
  5. Falch, Torberg & Fischer, Justina A.V., 2012. "Public sector decentralization and school performance: International evidence," Economics Letters, Elsevier, Elsevier, vol. 114(3), pages 276-279.

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