Thinking about the cost-benefits of sporting events…Just looking at sports-related spending alone, the cost of the Sydney Olympics was $4.2B. The London Olympics have been estimated at $14.8B. The equivalent figures for the winter olympics in Sochi are more than 3 times London and 12 times Sydney. It just keeps snowballing, if you follow the drift.
These mega-projects are often driven by political objectives. The tangible benefits accrue to a relatively small group of well-organised interests. However, the costs and risks are spread across a much larger number of tax payers.
How would these events change if the interested parties were funding them? How well are the benefits estimated and are they tracked. The Business Cases would make interesting reading.