A longitudinal assessment on the economic effects of hosting major sporting events

ABSTRACT

Hosting major sporting events (MSEs) has become a globalized strategy for many countries. This paper is to incorporate event study and dynamic panel data analysis with annual secondary data to examine and clarify the long-term economic effects of host countries that had hosted the Asian Games and the Olympic Games from 1950 to 2014. The results indicate that hosting MSEs to create positive economic effects like the real economic growth rate, investment, employment and international trade may be a myth even for developing countries. The evidences can provide the sport management or authority with longitudinal and comprehensive elaboration for biding or hosting MSEs in the future.

KEYWORDS:

• Major sporting events
• Asian Games
• Olympic Games
• economic effects
• longitudinal study

JEL CLASSIFICATION:

• C33
• E24
• F43

Disclosure statement

No potential conflict of interest was reported by the authors.

Notes

¹ The Human Development Index (HDI) is a composite statistic of life expectancy, education, and income per capita indicators, which are used to rank countries into four tiers of human development. The HDI is a standard released by the United Nations Development Program and used since 1990 to measure the degree of social and economic development of various countries, and all countries are, according to such a standard, classified into four groups: Extremely high group, high group, middle group and low group. The countries listed in the extremely high group are regarded as developed countries (cf http://hdr.undp.org/en/content/human-development-index-hdi).

Additional information

Funding

This work was supported by the Ministry of Science and Technology, Taiwan [MOST 104-2410-H-156-011].