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Have public finance principles been shut out in financing new sports facilities in the United States?

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Author Info

  • Robert Baade

    ()
    (Department of Economics and Business, Lake Forest College)

  • Victor Matheson

    ()
    (Department of Economics, College of the Holy Cross)

Abstract

Over the past 15 years, new stadiums in the National Football League have been built at an unprecedented rate, and most new facilities have utilized significant public funds. This paper looks at whether the methods used to finance these new facilities honored public finance principles regarding equity, efficiency, and transparency. An examination of the 20 NFL stadiums constructed or refurbished since 1992 reveals a trend towards more voter referendums and an increase reliance on taxation of visitors through hotel and rental car taxes. Although taxation of persons living outside one’s own metropolitan area is appealing, this paper suggests that the benefits of these taxes are not nearly so clear.

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File URL: http://college.holycross.edu/RePEc/Matheson_PublicFinance.pdf
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File Function: Paper presented at the 7th Annual IASE Conference in Ottawa, Ontario, June 2005
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Bibliographic Info

Paper provided by International Association of Sports Economists in its series IASE Conference Papers with number 0527.

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Length: 27 pages
Date of creation: Jun 2005
Date of revision:
Handle: RePEc:spe:cpaper:0527

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Web page: http://www.cdes.fr/index.php?id=fr69
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Related research

Keywords: sports; public finance; stadiums; football; NFL;

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Cited by:
  1. Victor Matheson & Kent Grote, 2006. "Gamblers’ Love for Variety and Substitution among Lotto Games," Working Papers 0609, College of the Holy Cross, Department of Economics.

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