Economist: LA Jobs Boost From NFL Stadium All Hype

February 10, 2011 1:08 PM

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LOS ANGELES (CBS) — Football fans are abuzz about how soon the NFL could be coming back to town, but when it comes to the economic benefits of a new downtown stadium, taxpayers may not like the final score.

Mayor Antonio Villaraigosa and other city officials say one of the key benefits of the AEG plan to build a 64,000-seat stadium near the Staples Center is the estimated 20,000 jobs that the building and operation of the stadium would bring.

But as KNX 1070′s Pete Demetriou reports, one expert on sports franchises and their impact on local economies says the data from the past 30 years tells a different story.

Brad Humphries, a professor of Economics at the University of Alberta, says about the only positive spin-offs in the economic realm will come to the team and the players, with the city seeing primarily a feel-good benefit — at best.

However, Humphries warns that in the long run, taxpayers could possibly get stuck with the bill for part of the stadiums construction and operation.

Economist: LA Jobs Boost From NFL Stadium All Hype

swhitS

NO STADIUM!
gdog07

Get it done.
Frank

You here that mayor tony, we’ll ship you outta there faster than Mubarak if you give subsidies to the NFL. Let other cities and their sucker taxpayers pay. We’ll just watch on football on channel 2.
Jay Landry

That is not correct for a new franchise with a new stadium. Season Tickets sales, guest relations, 24 hour security, cleaning, maintenance, novelty production and sales, wait staff, ushers, game operations, team support, trainers, groundskeepers, food preparation, accounting, IT and technical operations, arena management.. get the hint.

Now, if it is a transfer of a franchise, it would be transfering 500 or so positions to LA from where ever. Granted, part time for most, but that’s money they were not making before.
GO AWAY NFL!!!

20,000 Jobs?? I think that’s just TEMPORARY Employment as most of those jobs will be from people involve in the reconstruction of the new building. Most of those TEMP Jobs will be from Construction workers and TEMP staffers in setting up the stadium. After the Stadium project, most of those 20,000 jobs will evaporate.

Not worth the trouble, go away NFL.. We don’t want you in LA. USC is our highest pay team in LA.
Steve

Yeah but this is considering the 1 billion dollars or more it will take to get this done. If the taxpayers end up paying any sizable piece of that, it can out weight any positive economic benefit the team has.
Steve

I was responding to Jay Landry.
spimpernel

NO STADIUM!!!
El Pinguino

And I should have mentioned.. I am a union construction worker. I might get a job for 3 months if I am lucky. But, I would be saddled with debt for many years.
El Pinguino

I guess my original post didn’t make. Just the follow up did.

The should be no taxpayer money involved in these financial adventures. No community redevelopment money, tax breaks or any deals designed to lower the costs of this *private enterprise*.

Taxpayers all to often should the debt of these types of private ventures while the private enterprise side of the deal takes all the profits. Obscene profits at that.

Sorry to say people but a lesson we have learned (I hope) is that there is a finite amount of money in this world. You are faced with a few choices. Football stadiums or fire/police? Public education? Parks and recreation?

This school of thought that these public debt / private enterprise profits are a sham. A transfer of wealth from poor to rich.
Tom in San Jose

So just what is wrong with the Coliseum? It’s an iconic building with a great history and the money spent on building a new facility could be more effectively used to add the luxury features to the Coliseum and in renovating the surrounding area.
David

Why don’t you say the whole story? Also, talk about the immediate area if your expert knows the area. This is not only a football stadium the best part about it is the expansion of the Convention Center. LA ranks number 15 in the country and we will move to number 5 with this move. The convention center will bring huge business for the hotels and restaurants in downtown. It will create jobs in many ways. Keep your so called expert in whatever market he lives in. Most likely Montana. We want Farmers Field. We are lucky to have AEG in Los Angeles!
Scott Zimmerman

No tax money or incentives for millionaires!
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