From Amy Shiplet and Maureen Fan in the Washington Post: Beijing Is All Dressed Up, But No One Is Going:
“Business is worse than at this time last year,” said a receptionist at a 22-room hotel in Beijing’s Chongwen district, where rooms cost $28 a night. “It’s the season for traveling and last year the hotel was full. The Olympics should have brought business to Beijing, but the reality is too far from the expectation.”
“In addition, despite “selling every ticket” the venues aren’t full, and the organizers are scratching their heads. When I point out that things like this happen, people call me an idiot. When Victor Matheson publishes a paper that shows no economic impact from mega sports events, non-economists say he is clearly wrong, because millions of tickets are sold to these events, and that must generate economic impact. This outcome is consistent with a lot of empirical evidence from Sydney and Athens that suggests little tangible direct economic impact was generated by those games.”
It would be great if people would stop putting stock in signs/symbols of growth and prosperity that actually have no bearing on growth/prosperity.
Economists and Statisticians are not idiots. Remember this the next time your city wants to build a new stadium to “stimulate the local economy“