The Economic Consequences of Professional Sports Strikes and Lockouts: Revisited

Professional sports franchises have used the lure of economic riches as an incentive for cities to construct new stadiums and arenas at considerable public expense. An analysis of taxable sales in Florida cities demonstrates that none of the 6 new franchises or 8 new stadiums and arenas in the state since 1980 have resulted in a statistically significant increase in taxable sales in the host metropolitan area. In addition, using the numerous work stoppages in professional sports as test cases, again no statistically significant effect on taxable sales is found from the sudden absence of professional sports due to strikes and lockouts.