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Sectoral Labour Market Effects of the 2006 FIFA World Cup

Author

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  • Arne Feddersen

    (Chair for Economic Policy, University of Hamburg)

  • Wolfgang Maennig

    (Chair for Economic Policy, University of Hamburg)

Abstract

Using the case of the 2006 FIFA World Cup, this study is the first to test the employment effects of a mega-sporting event on the basis of data that are both regional and sectoral. It is also the first study of sporting events to use a non-parametric test method. Earlier studies on the World Cup could not identify any employment effects. In contrast, we find a small but significant positive em-ployment effect on the hospitality sector and a negative effect on the construction sector. To our knowledge, this is the first time that such a crowding-out effect of public investment on the occasion of a mega-sporting event has been found in an empirical analysis.

Suggested Citation

  • Arne Feddersen & Wolfgang Maennig, 2010. "Sectoral Labour Market Effects of the 2006 FIFA World Cup," Working Papers 033, Chair for Economic Policy, University of Hamburg.
    • Handle: RePEc:hce:wpaper:033
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    References listed on IDEAS

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    2. Scavette, Adam, 2023. "The economic impact of a casino monopoly: Evidence from Atlantic City," Regional Science and Urban Economics, Elsevier, vol. 103(C).
    3. Robert Baumann & Bryan Engelhardt & Victor A. Matheson, 2012. "Labor Market Effects of the World Cup: A Sectoral Analysis," Chapters, in: Wolfgang Maennig & Andrew Zimbalist (ed.), International Handbook on the Economics of Mega Sporting Events, chapter 22, Edward Elgar Publishing.
    4. Albanese, Giuseppe & Ciani, Emanuele & de Blasio, Guido, 2021. "Anything new in town? The local effects of urban regeneration policies in Italy," Regional Science and Urban Economics, Elsevier, vol. 86(C).
    5. Franziska K. Kruse & Wolfgang Maennig, 2017. "The future development of world records," Working Papers 061, Chair for Economic Policy, University of Hamburg.
    6. Robert Baumann & Victor A. Matheson, 2013. "Estimating economic impact using ex post econometric analysis: cautionary tales," Chapters, in: Plácido Rodríguez & Stefan Késenne & Jaume García (ed.), The Econometrics of Sport, chapter 10, pages 169-188, Edward Elgar Publishing.
    7. Melanie Krause & Stefan Szymanski, 2019. "Convergence versus the middle-income trap: the case of global soccer," Applied Economics, Taylor & Francis Journals, vol. 51(27), pages 2980-2999, June.
    8. 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.
    9. Carl Singleton & Adrian r. Bell & Andy Chung & J. James Reade & Andrew Urquhart, 2024. "Scoring goals: The impact of English Premier League football teams on local university admissions," Economics Discussion Papers em-dp2024-02, Department of Economics, University of Reading.
    10. 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.
    11. 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.
    12. Ogawa, Ryoh, 2017. "Using REIT Data to Assess the Economic Worth of Mega-Events: The Case of the 2020 Tokyo Olympics," MPRA Paper 78829, University Library of Munich, Germany.
    13. Haiyan Huang & Luke Lunhua Mao & Suk-Kyu Kim & James J. Zhang, 2014. "Assessing the Economic Impact of Three Major Sport Events in China: The Perspective of aTtendees," Tourism Economics, , vol. 20(6), pages 1277-1296, December.

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    More about this item

    Keywords

    FIFA; World Cup; Economic Impact; Ex-post Analysis; Sectoral Employment;
    All these keywords.

    JEL classification:

    • H54 - Public Economics - - National Government Expenditures and Related Policies - - - Infrastructures
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)
    • L83 - Industrial Organization - - Industry Studies: Services - - - Sports; Gambling; Restaurants; Recreation; Tourism

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