How local are labour markets? A look at the London Olympics

Alan Manning, Barbara Petrongolo, 3 August 2012

Will the London Olympics provide a major boost for employment in Stratford, as promised? This column presents evidence from a study in the UK, which, if applied to the Olympics, suggests that we shouldn’t count on it – many of the jobs will go to other Londoners.

How local are labour markets? A number of important questions in labour economics hinge on the answer.

Topics: Labour markets
Tags: jobs, local labour markets, Olympics, unemployment

Read more
6910 reads

Why bid for the Olympic Games?

Andrew K Rose, 16 April 2009

Hosting “mega-events” like the Olympics or World Cup is very costly and seems to yield few tangible benefits. But this column presents evidence suggesting that hosting such events has a positive impact on national exports – trade is around 30% higher for countries that have hosted the Olympics. It suggests that bidding to host the Olympics or World Cup may signal trade liberalisation.

Economists are usually sceptical of arguments about the public provision of infrastructure for sporting events, and rightly so (Siegfried and Zimbalist 2000). Agents that endorse the construction of new sports stadia or the staging of mega-events usually do so out of naivety or self-interest.

Topics: International trade
Tags: Olympics, trade liberalisation, World Cup