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Metropolitan Prosperity from Major League Sports in the CBD: Stadia Locations or Just Strength of the Central City? A Reply to Arthur C. Nelson

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  • Robert W. Wassmer

    (California State University, Sacramento)

Abstract

This comment on Nelson’s article, “Prosperity or Blight? A Question of Major League Stadia Locations,†which appears in this issue of Economic Development Quarterly, looks at the possible economic contribution of professional sports to a metropolitan area by summarizing earlier critiques of the literature on the topic, three regression studies that are similar to Nelson’s, and an article that relates central-city economic vitality to suburban economic vitality. The possibility of omitted variable bias in Nelson’s analysis is raised and the appropriate caution provided that sports stadia in a central business district may only be acting as a proxy for the overall strength of the central city. Nelson is commended for the work he has done, but more work along this line needs to be completed before specific public policy toward the desired locations of professional sports stadia is set.

Suggested Citation

  • Robert W. Wassmer, 2001. "Metropolitan Prosperity from Major League Sports in the CBD: Stadia Locations or Just Strength of the Central City? A Reply to Arthur C. Nelson," Economic Development Quarterly, , vol. 15(3), pages 266-271, August.
    • Handle: RePEc:sae:ecdequ:v:15:y:2001:i:3:p:266-271
    DOI: 10.1177/089124240101500306
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    References listed on IDEAS

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    1. Arthur C. Nelson, 2001. "Prosperity or Blight? A Question of Major League Stadia Locations," Economic Development Quarterly, , vol. 15(3), pages 255-265, August.
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    Cited by:

    1. Dennis Coates & Brad R. Humphreys, 2008. "Do Economists Reach a Conclusion on Subsidies for Sports Franchises, Stadiums, and Mega-Events?," Econ Journal Watch, Econ Journal Watch, vol. 5(3), pages 294-315, September.
    2. Agha, Nola & Rascher, Daniel, 2013. "When can economic impact be positive? Nine conditions that explain why smaller sports can have bigger impacts," MPRA Paper 48016, University Library of Munich, Germany.
    3. Dennis Coates, 2007. "Stadiums And Arenas: Economic Development Or Economic Redistribution?," Contemporary Economic Policy, Western Economic Association International, vol. 25(4), pages 565-577, October.
    4. Geoffrey Propheter, 2014. "Local Sales Tax Revenue Redistribution and Sports: The Case of Major League Soccer in Bridgeview," Public Budgeting & Finance, Wiley Blackwell, vol. 34(3), pages 73-91, September.
    5. Abbiasov, Timur & Sedov, Dmitry, 2023. "Do local businesses benefit from sports facilities? The case of major league sports stadiums and arenas," Regional Science and Urban Economics, Elsevier, vol. 98(C).
    6. Nola Agha & Daniel Rascher, 2021. "Economic Development Effects of Major and Minor League Teams and Stadiums," Journal of Sports Economics, , vol. 22(3), pages 274-294, April.

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