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Trading Effects of FIFA World Cup

Author

Listed:
  • Veysel Avsar

    (Department of Economics, Florida International University)

  • Umut Unal

    (Department of Economics, Florida International University)

Abstract

This study analyzes the trading effects of FIFA World Cup in two dimensions. First, focusing on the host countries' trade and estimating both static OLS and dynamic panel estimations, we show that participating in the World Cup significantly increases exports from the participant countries to the host countries, relative to a control group of non-participants. We also obtain the same pattern for the exports originating from the host countries to the articipants. Second, we demonstrate that trade is reasonably higher for host-participant pairs compared to other country pairs both in the years of the World Cup and permanently over the sample of our data. We offer a number of plausible arguments and important channels for our findings.

Suggested Citation

  • Veysel Avsar & Umut Unal, 2011. "Trading Effects of FIFA World Cup," Working Papers 1107, Florida International University, Department of Economics.
    • Handle: RePEc:fiu:wpaper:1107
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    2. Steven Yamarik & Mariya Mileva, 2023. "Cultural institutes: Networks and determinants," The World Economy, Wiley Blackwell, vol. 46(4), pages 1119-1143, April.
    3. Asier Minondo, 2017. "Fundamental Versus Granular Comparative Advantage: An Analysis Using Chess Data," Kyklos, Wiley Blackwell, vol. 70(3), pages 425-455, August.
    4. Lien, Donald & Lo, Melody, 2017. "Economic impacts of cultural institutes," The Quarterly Review of Economics and Finance, Elsevier, vol. 64(C), pages 12-21.
    5. Hatzigeorgiou Andreas, 2016. "Can Sports Promote Exports? The Role of Soccer Matches in International Trade," Global Economy Journal, De Gruyter, vol. 16(1), pages 1-32, March.
    6. Raul Caruso & Marco Di Domizio & David A. Savage, 2017. "Differences in National Identity, Violence and Conflict in International Sport Tournaments: Hic Sunt Leones!," Kyklos, Wiley Blackwell, vol. 70(4), pages 511-545, November.
    7. Halis Kıral & Lutfi Erden, 2018. "Bilateral trade effects of fiscal devaluation: Evidence from OECD countries," The Journal of International Trade & Economic Development, Taylor & Francis Journals, vol. 27(6), pages 585-606, August.

    More about this item

    Keywords

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    JEL classification:

    • F19 - International Economics - - Trade - - - Other
    • L83 - Industrial Organization - - Industry Studies: Services - - - Sports; Gambling; Restaurants; Recreation; Tourism

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