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World Cup 2010: South African Economic Perspectives and Perspectives Policy Challenges Informed by the Experience of Germany 2006

Author

Listed:
  • Stan du Plessis
  • Wolfgang Maennig

    (Chair for Economic Policy, University of Hamburg)

Abstract
The paper provides a first ex post analysis of the financial burden and economic benefits of the World Cup in Germany 2006. On the usual cost-benefit measures, the experience of WC 2006 appears to be in line with existing empirical work on large sporting events and sport stadia which rarely identify significant net economic benefits. The paper also argues that the “event benefit” or “feel-good factor” of sport events should no longer be neglected in cost-benefit studies of large sporting events, even though these effects are likely to be underestimated ex ante due to their possible experience good character. These lessons from Germany 2006 provide a context for analysing the potential risks and benefits for South Africa, the World Cup hosts in 2010. The paper aims to open a discussion on policy decisions, often at the level of urban planning and architecture, that might improve the balance of costs and benefits for sport events and stadia. To that end the paper attempts to initiate a discussion on the economic effects of “iconic buildings”.

Suggested Citation

  • Stan du Plessis & Wolfgang Maennig, 2007. "World Cup 2010: South African Economic Perspectives and Perspectives Policy Challenges Informed by the Experience of Germany 2006," Working Papers 004, Chair for Economic Policy, University of Hamburg.
    • Handle: RePEc:hce:wpaper:004
    as

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    File URL: http://www.hced.uni-hamburg.de/WorkingPapers/HCED_04.pdf
    File Function: First version, 2007
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    References listed on IDEAS

    as
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    Cited by:

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    2. Wolfgang Maennig, 2017. "Governance in Sports Organizations," Working Papers 060, Chair for Economic Policy, University of Hamburg.
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    4. Fischer, Justina AV & Sousa-Poza, Alfonso, 2010. "The impact of institutions on firms’ rejuvenation policies: Early retirement with severance pay versus simple lay-off. A Cross-European Analysis," MPRA Paper 20343, University Library of Munich, Germany.
    5. Falch, Torberg & Fischer, Justina A.V., 2012. "Public sector decentralization and school performance: International evidence," Economics Letters, Elsevier, vol. 114(3), pages 276-279.
    6. Franziska K. Kruse & Wolfgang Maennig, 2019. "Yellow Cards and Suspension by Choice: Determinants and Asymmetries," Working Papers 064, Chair for Economic Policy, University of Hamburg.
    7. M.R. van den Berg & M. de Nooij, 2013. "The bidding paradox: why economists, consultants and politicians disagree on the economic effects of mega sports events but might agree on their attractiveness," Working Papers 13-08, Utrecht School of Economics.
    8. Wiker, Dagmara, 2017. "The infrastructural investments pursued in the Polish host cities in connection with Euro 2012," MPRA Paper 82604, University Library of Munich, Germany.
    9. Steffen Q. Mueller & Patrick Ring & Maria Schmidt, 2019. "Forecasting economic decisions under risk: The predictive importance of choice-process data," Working Papers 066, Chair for Economic Policy, University of Hamburg.
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    11. Plácido Rodríguez & Stefan Késenne & Jaume García (ed.), 2013. "The Econometrics of Sport," Books, Edward Elgar Publishing, number 14811.
    12. Roberto Gásquez & Vicente Royuela, 2014. "Is Football an Indicator of Development at the International Level?," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 117(3), pages 827-848, July.
    13. Swantje Allmers & Wolfgang Maennig, 2009. "Economic impacts of the FIFA Soccer World Cups in France 1998, Germany 2006, and outlook for South Africa 2010," Eastern Economic Journal, Palgrave Macmillan;Eastern Economic Association, vol. 35(4), pages 500-519.
    14. Douglas Barrios & Stuart Russell & Matt Andrews, 2016. "Bringing Home the Gold? A Review of the Economic Impact of Hosting Mega-Events," CID Working Papers 320, Center for International Development at Harvard University.
    15. Claus, Edda & Nguyen, Viet Hoang, 2018. "Consumptor economicus: How do consumers form expectations on economic variables?," Journal of Economic Behavior & Organization, Elsevier, vol. 152(C), pages 254-275.
    16. Steffen Q. Mueller, 2020. "Pre- and within-season attendance forecasting in Major League Baseball: a random forest approach," Applied Economics, Taylor & Francis Journals, vol. 52(41), pages 4512-4528, September.
    17. José Ba-os & Plácido Rodríguez, 2013. "Spain and the FIFA World Cup 2018/2022: a qualitative and quantitative analysis," Chapters, in: Plácido Rodríguez & Stefan Késenne & Jaume García (ed.), The Econometrics of Sport, chapter 12, pages 202-220, Edward Elgar Publishing.
    18. Brad R. Humphreys & Bruce K. Johnson & John C. Whitehead, 2020. "Validity and reliability of contingent valuation and life satisfaction measures of welfare: An application to the value of national Olympic success," Southern Economic Journal, John Wiley & Sons, vol. 87(1), pages 316-330, July.
    19. Stan du Plessis & Wolfgang Maennig, 2012. "The 2010 FIFA World Cup High-frequency Data Economics: Effects on International Tourism and Awareness for South Africa," Chapters, in: Wolfgang Maennig & Andrew Zimbalist (ed.), International Handbook on the Economics of Mega Sporting Events, chapter 27, Edward Elgar Publishing.
    20. Fourie, Johan & Santana-Gallego, María, 2011. "The impact of mega-sport events on tourist arrivals," Tourism Management, Elsevier, vol. 32(6), pages 1364-1370.
    21. Zawadzki, Krystian & Wasilczuk, Julita, 2013. "Impact of the Euro 2012 on the Pomeranian Region and Its Small and Medium Enterprises in Terms of Competitiveness," MPRA Paper 44468, University Library of Munich, Germany.
    22. Stefan Szymanski & Bastien Drut, 2020. "The Private Benefit of Public Funding: The FIFA World Cup, UEFA European Championship, and Attendance at Host Country League Soccer," Journal of Sports Economics, , vol. 21(7), pages 723-745, October.
    23. Franziska K. Kruse & Wolfgang Maennig, 2017. "The future development of world records," Working Papers 061, Chair for Economic Policy, University of Hamburg.
    24. Rishav Bista, 2017. "Revisiting the Olympic Effect," Review of International Economics, Wiley Blackwell, vol. 25(2), pages 279-291, May.
    25. Wolfgang Maennig, 2017. "Major Sports Events: Economic Impact," Working Papers 058, Chair for Economic Policy, University of Hamburg.

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