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The public cost of Minor League Baseball stadium subsidies

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  • John Charles Bradbury

Abstract

Public financing of major league sports venues has been widely studied, but government support for minor league facilities has not been systematically documented. This study introduces a new database of Minor League Baseball stadium funding to measure the prevalence and magnitude of subsidies. State and local governments have spent $7 billion constructing and renovating 134 minor league ballparks for Major League Baseball (MLB) affiliates, raising important policy implications for moderately sized municipalities. Using MLB's reorganization of its minor leagues as a natural experiment, the analysis finds no income differences between cities that lost or retained teams, undermining the economic rationale for taxpayer subsidization.

Suggested Citation

  • John Charles Bradbury, 2026. "The public cost of Minor League Baseball stadium subsidies," Economic Inquiry, Western Economic Association International, vol. 64(3), pages 1079-1096, July.
    • Handle: RePEc:bla:ecinqu:v:64:y:2026:i:3:p:1079-1096
    DOI: 10.1111/ecin.70055
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    References listed on IDEAS

    as
    1. Carlino, Gerald & Coulson, N. Edward, 2004. "Compensating differentials and the social benefits of the NFL," Journal of Urban Economics, Elsevier, vol. 56(1), pages 25-50, July.
    2. John Charles Bradbury, 2024. "Revisiting the novelty effect from new stadiums: An event study approach," Economic Inquiry, Western Economic Association International, vol. 62(4), pages 1722-1747, October.
    3. John Charles Bradbury & Dennis Coates & Brad R. Humphreys, 2023. "The impact of professional sports franchises and venues on local economies: A comprehensive survey," Journal of Economic Surveys, Wiley Blackwell, vol. 37(4), pages 1389-1431, September.
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    6. Damian Clarke & Kathya Tapia-Schythe, 2021. "Implementing the panel event study," Stata Journal, StataCorp LP, vol. 21(4), pages 853-884, December.
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    9. John Charles Bradbury & Dennis Coates & Brad R. Humphreys, 2024. "Public policy toward professional sports stadiums: A review," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 43(3), pages 899-937, June.
    10. Nola Agha & Dennis Coates, 2015. "A Compensating Differential Approach To Valuing The Social Benefit Of Minor League Baseball," Contemporary Economic Policy, Western Economic Association International, vol. 33(2), pages 285-299, April.
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