Organizing sporting events: More benefits than harm 3

Organizing sporting events: More benefits than harm 3

After the 2010 World Cup, South Africa earned one-tenth of its investment.

When it comes to major sporting events like the Olympics or World Cup, most people think that it is a gold mine with endless tourists and tons of money spent on the streets of the host country.

According to the media, one of the most successful sporting events ever held was the 1988 Summer Olympic Games in Seoul (South Korea).

This is also the most profitable Olympics in history with 479 million USD, up to 125 million USD higher than predicted.

Main stadium in Cape Town, South Africa.

But the 2010 World Cup held in South Africa was the most expensive World Cup in history with costs of up to 33 billion rand (4.8 billion USD).

The record for the most expensive Olympics belongs to the 2008 Beijing Olympics with a cost of nearly 300 billion yuan (40 billion USD).

Since winning the right to host the Olympics, in the period 2001 – 2006, this country’s GDP has increased at an average rate of 12.2% annually.

Organizing sporting events: More benefits than harm

Bird’s Nest Stadium is now only for visitors and a snow park.

However, after the Olympics, a series of newly built buildings in China were abandoned.

Suffering the heaviest consequences from hosting a sporting event is probably Greece.

To serve the Olympics, the host country has spared no expense in building a series of projects such as the Olympic Stadium, tram tracks connecting competition venues in Athens, the Olympic Sports Complex, and the Helliniko Basketball Arena.

However, after the Olympics ended, more than half of these works are still abandoned until now.

Worst of all, overspending on the Olympics caused the country’s budget deficit in 2004 to increase to 6.1% of GDP, twice the eurozone limit.

Ha Thu (summary)

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