Costs: The Rest of the Economic Impact Story Academic Article uri icon


  • Economic impact studies are frequently commissioned to justify investments in sport projects. However, decisions also should include a consideration of a projects costs since it is the net return on investment that should drive decisions. Whenever taxpayer funds are expended on a sports project there is an opportunity cost. Three types of opportunity cost are discussed. Explicit costs are those for which a government entity writes a check. They are comprised of event costs, land and infrastructure costs, and operations and maintenance costs. Implicit costs are those which remain hidden from most taxpayers: foregone property taxes, strategic underestimation of capital costs, displacement costs, and an inequitable nexus between payers and beneficiaries. External costs are those incurred by taxpayers beyond the boundaries of a local jurisdiction.

published proceedings

  • Journal of Sport Management

altmetric score

  • 3

author list (cited authors)

  • Crompton, J. L., & Howard, D. R.

citation count

  • 14

complete list of authors

  • Crompton, John L||Howard, Dennis R

publication date

  • September 2013