Pros And Cons Of Stadium Subsidies

Thus we can see why public money is eagerly donated. The full costs of a stadium and the damage it does to communities are often years in the future, long after the politician is known for being the hero that save our local team and has moved on to bigger and better things, now with the campaign funding of the very teams that they built homes for and the fans who continue to pay. Team owners can choose new cities but cities can’t choose new teams thanks to the leagues government-sanctioned monopolies over franchise placement, mayors for example, feel they must offer owners anything they want. “Politicians continue

I am going to discuss the topic of National Football League stadiums and their public funding. The purpose of the study is to find out if funding of NFL stadiums is “bad business,” The research I will look at the impacts that a stadium has on the economy in the city. Cities’ like to have attractions that they can draw from and be proud of. Most cities have some form of sport arena, and more are being built or are planned to be built. As with any business there are positives and negatives when hosting a sports team. Cities pay multimillions to help fund and build sport stadiums for teams. I hadn’t researched or looked into this topic before, so I was very intrigued by this. At the end of this paper I will give my own personal opinion.

College athletics is a very diverse organization involving a lot of students, mainly as the players, and non-students such as officials, coaches and others. The leading governing body for college athletics is the National Collegiate Athletic Association, NCAA. College sports is itself a big industry involving sponsorships, TV networks, endorsements, retail products and marketing. But in spite of it being a big business, the players are not compensated for the work they deliver. This opens up two opinions: should players be paid, or should they not? Kristi Dosh’s article, “The Problems With Paying College Athletes”, (UNCLEAR)discusses where the coaches’ money come from to pay student athletes. On the other hand, Mark Cassell’s article, “College Athletes Should Be Able To Negotiate Compensation”, debates how athletes should be able to negotiate their compensation. This paper will evaluate the evidence of both Dosh and Cassell in order to determine which argument is more effective.

Porter and Thomas claim that half of the NFL teams advertise their season ticket waiting list online and that all of them have sold out at least some of their major sections of season tickets, which is consistent with the profit maximizing behavior of team owners. Thus, the persistent shortage may be rational in a case of exceeded demand, making the product more valuable. Therefore, placing ticket prices into the inelastic region of demand is closely related to politically supported subsidies, which restores the balance of low pricing policy. Additionally, the NFL also uses a form of price-discrimination to influence their subsidies. However, ultimately, the NFL uses the public choice model. Moreover, the public choice model is when there is

Although there has been a drastic change in how many new arenas/stadiums have been constructed over the past five to ten years, it is too early to see how big of an impact it has had on their respective cities. I strongly believe that if you have a very successful franchise, you will be able to get the support from the city in order to build a new stadium or arena. Hopefully over the next couple of decades we will be able to study the economic impact on the most recent stadiums and arenas that have been constructed and use them as a learning tool to see how we can enhance the funding for future stadiums down the

An article presented by Deadspin called “No One Wants Publicly- Financed Stadiums- Except The People Who Count” by Jack Moore plays on this very topic. He discusses how the elites run their businesses. Moore gave many examples where elites may have taken their power to a whole new level. Before reading this article I was oblivious to the elite power, but now I am aware of how the system is in fact broken.

The total pool of revenue is split between the players and the owners of which the players share almost 60% of the pool which was in 2011 $ 8 billion after the owners have take 1 billion for the upkeep and maintenance of the stadiums. The owners due to higher costs and risks involved want another 1 billion effectively leaving the players with 7 billion to share.

What is or NFL the most well known approach to funding MLB, NBA stadiums in significant US urban areas, presently? How is the is accomplished and what are the advantages and disadvantages? Will you name two new stadiums in one Georgia City?

To support or not to support sports subsidies would solely rely on a fan, however that 's what many people think John Oliver ,Dennis Coates and her companion Brad R. Humphreys present several concepts about the stadiums arising arguments and questions.Through John Oliver’s parody video Last Week Tonight, he attacks stadium subsidies, the process by which local and state governments give hundreds of millions of dollars in taxpayer money to fund stadiums for professional sports teams. The article “Do Economists Reach a Conclusion on Subsidies for Sports Franchises, Stadiums and Mega-Events?” Claims that we should not support sports subsidies because of the consensus______. Ultimately their goal is to inform us, Oliver speaks to a broad audience while Coates and Humphrey 's appeal to a specific audience mostly to economists. When considering the texts of Coates and Humphreys as well as Oliver, the genre of the text had the greatest impact on the choice of the organization.

In the United States, new sports stadiums are commonly seen as a vital part of the redevelopment of a city having a great economic growth with the production of jobs and a positive income builder. After this, the owners of the pro sports teams with millions and millions of dollars of subsidies for the construction of new stadiums and arenas and expect these facilities to generate economic benefits exceeding these subsidies by large margins. However, a growing body of fact indicates that professional sports facilities, and the franchises they are home to, may not be engines of economic benefit anywhere claims Sachse, “. In reality, sports franchises typically account for a very small proportion of the total economic output of the cities in which they reside.” Some economical studies on the amount of income and employment in US cities find no evidence of positive economic benefits associated with past sports facility construction and some studies find that professional sports facilities and teams have a net negative economic impact on income and employment. It just shows that these results suggest that at best, professional sports teams and facilities provide non-pecuniary benefits like civic pride, and a greater sense of community, along with consumption benefits to those attending games and following the local team in the media; at worst, residents

The city of Springfield, Massachusetts were blessed with the basing of a baseball minor league franchise in their city. But the class A team is faced with great revenue generation challenges that will make or mar the organization. The new team might likely take advantage of the fact that closest sports franchised teams are all located 90 miles away from Springfield. This might create a ticket and concession boom for the team and other benefits like employment and taxes for the city. The city has a considerable moderate family income and a recent growth index in the healthcare, financial, and other small and medium enterprise sectors is an advantage

Each of the  stadiums are funded in unique ways, communities do not benefit from new stadiums, and stadiums do not save a struggling downtown. Foremost, stadiums hurt public schools, and this money should be used for more important public services.  There are many  reasons we subsidize sports, but stadiums do not help the economy, and there are no net benefits from stadiums.  Teams strive for new stadiums to create an image,  but there are  options so that a community will not loose a team to another city without building a new stadium.

The Porter and Thomas paper gives an economics interesting point of view. As one learned during the eight-week Managerial Economics course, the world revolves around two concepts supply and demand. Game ticket prices are elastic, team franchise owners are sensitive to changes in the ticket price of their teams and the general consumer's willingness to purchase a ticket for a disclosed amount. There are many variables that influence the price and sales of tickets. Students learned in unit two that supply and demand do not shift together, on the contrary, only one line will shift meaning the demand or the supply curve. Moreover, economist believes ticket prices are too low because of government subsidies cater toward NFL owners.

But smaller franchises that are less capable of investing in well known international players are now forced to do so just to stay

However, it’s not to say there are not problems with the stadium. Currently, as it stands the stadium will cost 1.4 billion. With 1 billion dollars from the football team, and 200 million from the soccer team. The rest of cost is covered by a new hotel-motel tax. I feel