International Journal of Humanities and Social Science

      ISSN 2220-8488 (Print), 2221-0989 (Online) 10.30845/ijhss

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      On the Financial Advantage of Hosting the Olympics
      Ben Levy, Paul D. Berger

      Abstract
      Mega Sporting Events generally are classified as the Olympics, World Cup, and UEFA (Union of European Football Associations) Championship in Europe. Since the significant positive economic impact of $2.3 billion realized by Los Angeles after the 1984 Summer Olympic Games, the number of bids by cities for these mega sporting events has increased significantly. Also, this success inspired economic evaluations of the Olympic Games to be conducted to better estimate the financial benefit to the host city. Utilizing improved methodologies, as well as superior data, models have found that, in reality, it is more difficult than anticipated to realize an economic benefit from hosting the Olympic Games. We conduct statistical analyses on the financial data for several of the Olympic cities since 1990. We also discuss data available from the British government which estimates the economic outcome of the 2012 Summer Olympic Games in London.

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