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The impact of Formula 1 on regional economies in Europe

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  • Rasmus K. Storm
  • Tor Georg Jakobsen
  • Christian Gjersing Nielsen

Abstract

The tangible effects of hosting major sporting events have been thoroughly examined in recent years. The consensus among scholars is that the effects on tourism, inbound foreign investments and gross domestic product (GDP) from hosting, for example, the Olympic Games or the football World Cup are absent. Further, only a few studies have been conducted on one of the most commercially successful (major) sporting events: Formula 1 motor racing. This paper applies regression models to test the effects on GDP, employment and tourism in European regions that have hosted Formula 1 grand prix from 1991 to 2017. The output from the models suggests that hosting Formula 1 races does not produce positive effects.

Suggested Citation

  • Rasmus K. Storm & Tor Georg Jakobsen & Christian Gjersing Nielsen, 2020. "The impact of Formula 1 on regional economies in Europe," Regional Studies, Taylor & Francis Journals, vol. 54(6), pages 827-837, June.
    • Handle: RePEc:taf:regstd:v:54:y:2020:i:6:p:827-837
    DOI: 10.1080/00343404.2019.1648787
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    1. Singleton, Carl & Bell, Adrian R. & Chung, Andy & Reade, J. James & Urquhart, Andrew, 2024. "Scoring goals: The impact of English Premier League football teams on local university admissions," Economics Letters, Elsevier, vol. 244(C).
    2. Giotis Georgios, 2022. "Preliminary Results on the Employment Effect of Tourism. A meta-analysis," Papers 2206.00174, arXiv.org.
    3. Wifo, 2023. "WIFO-Monatsberichte, Heft 7/2023," WIFO Monatsberichte (monthly reports), WIFO, vol. 96(7), July.
    4. Matthias Brachert, 2021. "Regional effects of professional sports franchises: causal evidence from four European football leagues," Regional Studies, Taylor & Francis Journals, vol. 55(2), pages 295-306, February.
    5. Matthias Firgo & Oliver Fritz, 2023. "Regionalwirtschaftliche und touristische Effekte von Sportgroßveranstaltungen," WIFO Monatsberichte (monthly reports), WIFO, vol. 96(7), pages 481-490, July.

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