Wednesday, October 27, 2004

Report: Team Won't Aid Economy

By Eric Fisher
The Washington Times
October 27, 2004

The long-running feud between economists and stadium-happy politicians took another bitter turn yesterday.

The release of a report from the District-based Cato Institute challenged many of the city's claims that baseball's return to Washington would spur economic development.

The report, entitled "Caught Stealing: Debunking the Economic Case for D.C. Baseball," borrows liberally from more than three decades of economic research on the presence of big-time professional sports in urban areas.

Like other studies, the authors of the current report — Dennis Coates from the University of Maryland-Baltimore County and Brad Humphreys from the University of Illinois, Urbana-Champaign — argue any new development and tax revenue generated by the presence of a sports facility is more than offset by losses elsewhere in the region, and is not worthy of major public-sector investments.

"Unless you believe that people pull money out of hiding to spend it on sports, that spending has to come at the expense of spending somewhere else," Coates said

Read the entire article here at the Washington Times website