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Hosting Mega-Sporting Events: Which Decision-Making Rule?

Author

Listed:
  • Eric Barget

    (Limoges University)

  • Jean-Jacques Gougout

    (Limoges University)

Abstract

An economic impact assessment alone cannot justify public support for hosting mega-sporting events. A cost-benefit analysis in order to measure the net social utility for the population is also relevant. Nevertheless, if there is always a high demand of economic impact studies by public authorities before hosting an event, the cost-benefit studies are never made, so there is a high risk to make decisions that are not rational. In this paper, to take into account simultaneously the economic impact and the social utility of mega-sporting events, we propose a legitimacy test we illustrate with the example of the Rugby World Cup 2007 in France.

Suggested Citation

  • Eric Barget & Jean-Jacques Gougout, 2010. "Hosting Mega-Sporting Events: Which Decision-Making Rule?," International Journal of Sport Finance, Fitness Information Technology, vol. 5(2), pages 141-162, May.
  • Handle: RePEc:jsf:intjsf:v:5:y:2010:i:2:p:141-162
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    More about this item

    Keywords

    regional development; mega-events; Rugby World Cup; economic impact; welfare economics; cost-benefit analysis; legitimacy test;
    All these keywords.

    JEL classification:

    • L83 - Industrial Organization - - Industry Studies: Services - - - Sports; Gambling; Restaurants; Recreation; Tourism

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