Questioning the Economic Wisdom of the U.S. World Cup Bid

The New York Times's Freakonomics blog asks whether it's really a good idea for the U.S. to try to host another World Cup, especially given the fact that the event is not a money-maker for the host.

The truth, however, is that most such events don’t provide much economic stimulus, and often turn out to be money losers. This isn’t to say that cities or countries shouldn’t try to host these events — but, as the Soccernomics authors argue, they should at least realize that what they’re doing is paying for the right to host a big party. The same is generally true for public funding of new sports arenas, as the economist Dennis Coates made clear not long ago.

Should the U.S. Really Try to Host Another World Cup?
The New York Times
July 19, 2010

Obama Stumps for a U.S. World Cup

U.S. President Barack Obama is pushing for his country to play host to an upcoming World Cup. The U.S. is bidding for the 2018 and 2022 tournaments.

While baseball and American football take a front seat, the president said, soccer is a "late entry" to U.S. sports fandom and would only be boosted by a World Cup here.

Obama: U.S. 'very serious' about hosting future World Cup
The Hill
July 14, 2010

Russia Proposes $340 Million Investment in Stadia for 2018/2022 Cup

Russia is expecting to invest about $340 million on new stadia if it wins the right to host either the 2018 or 2022 World Cups.

"Sufficient funds have been allocated by the government for the reconstruction of existing bases, pitches, and infrastructure," [Russian Football Union head Sergei Fursenko] said. "Around 340 million until 2015 is expected to be spent on these needs."

He added that 13 new stadiums would be built for the tournament, and that even if Russia was unsuccessful in its bid, "we will build six stadiums in any case."

Russia to invest $340 million in football infrastructure
Rian
May 18, 2010

Bribe Comments From the Top Hurt England's 2018/2022 Bid

After the release of a secretly recorded tape in which he suggested that Russia and Spain would try to collude and bribe their way into hosting an upcoming World Cup, the leader of England's Football Association and World Cup Bid Team has resigned. He claims the bribe comments were not meant to be taken seriously. England's bid team has issued formal apologies to the bid teams in Russia and Spain, and some now question whether this controversy will hurt England's chances of being selected as host of either the 2018 or 2022 World Cups. England was thought to be the favorite to win hosting duties for 2018.

The Mail on Sunday revelations came only two days after former England captain David Beckham had helped the FA submit a 1,752-page bid book as they try to persuade Fifa to award England the 2018 World Cup.

"I have decided to resign as chairman of the FA and the 2018 Bid board," Triesman said in a statement.

"A private conversation with someone whom I thought to be a friend was taped without my knowledge and passed to a national newspaper," he added, referring to former aide Melissa Jacobs, who met Triesman a fortnight ago.

Lord Triesman quits FA and 2018 World Cup bid jobs
BBC
May 16, 2010

Houston Has High Hopes on Hosting

Planners and officials in Houston are hoping that the U.S. bid to host either the 2018 or 2022 World Cup is successful, as it could greatly benefit the city.

“We just got done with a successful 2010 NCAA South Regional,” David Tagliarino of Stadium Management Group-Reliant Park said. “We're hosting the NCAA Final Four in 2011 and we'll be hosting the Final Four again in 2016. We've done the All-Star Games. We've done the Super Bowl, and the World Cup would just be icing on the cake.”

An experienced sales pitch
The Houston Chronicle
May 14, 2010

U.S. Pins 2018/2022 World Cup Bid Hopes on Physical Capacity

The United States confidently submitted its bid to host either the 2018 or 2022 World Cup, boasting its physical capacity to host the games and the crowds.

[Sunil Gulati, chairman of the U.S. Soccer Federation] cited several factors that would help make the U.S. case, including having 5 million tickets available, 18 cities with access to international airports and stadiums ready to host the event tomorrow, plus a wealthy populace.

Alas, numbers alone don't win the bidding, and the U.S. also has to convince the 25 members of FIFA's executive committee it has become a full-bore soccer nation. "They don't understand how big it is in this country," Mr. Gulati said.

Confident U.S. Presents World Cup Bid
The Wall Street Journal
May 14, 2010

Other Sports Threaten Australia's 2018/2022 World Cup Bid

Though Australia has submitted its formal bid for the 2018 or 2022 World Cup, its agreements with rugby and other sport leagues are tenuous and could crack the country's seeming abilities to host the event.

A government-brokered deal fixing a formula for compensation was struck at the eleventh hour this week, allowing Australia to hand its bid book to FIFA by the deadline on Friday with a semblance of cooperation [nSGE6490I1].

However, the Memorandum of Understanding merely papers over the cracks, and allows the rival codes to schedule matches in direct competition with the tournament, opening up the embarrassing possibility of half-empty stadiums as local fans vote with their feet.

"Not negotiable for us, if you wanted to articulate it as a deal-breaker, was that we had to have the ability for our season to play through," Gillon McLachlan, chief operating officer of the Australian Football League (AFL), told Reuters.

Australia W.Cup bid papers over home game cracks
Reuters
May 14, 2010

Green Cup With Bikes A-Plenty for Belgium and Netherlands Bid

Belgium and the Netherlands have submitted their joint bid for either the 2018 or 2022 World Cup, highlighting their commitment to creating a "green" World Cup. Their plan includes free public transit and 2 million free bikes for fans to use during the event.

"It will be the greenest World Cup ever with an environment protection plan the world has never seen before," said [Ruud] Gullit, who is president of the bid.

"The games will be played in 14 truly green stadiums. The compactness of our countries is a great asset, due to the short distance the next game is never far away and we will offer the fans a network of free public transport and 2 million free bikes.

"In the Low Countries, everyone can go to the stadiums by bike, just like we arrived this morning."

Gullit goes green as FIFA receives World Cup bid books
Reuters
May 14, 2010

England's 2018/2022 Bid is In

England has submitted its bid to host either the 2018 or 2022 World Cup, touting its success as host of the 1996 Euro championship and the upcoming 2012 Summer Olympics.

"He said that this country has great infrastructure and facilities and has a history of delivering great major sporting events like Euro 96; he said people in England were fully behind the bid," [said a FIFA spokesperson about a call FIFA President Sepp Blatter had received from new British Prime Minister David Cameron.]

England bid organisers believe that one of their trump cards is the ability to drive up the commercial revenues of the event.

Fifa is expected to net £2.1bn in TV and sponsorship from the 2010 World Cup, and England estimates it can increase that income by a third, taking it near the £3bn mark.

Beckham hands over England 2018 World Cup bid
BBC
May 14, 2010

Australia Submits 2018/2022 World Cup Bid

Australia has completed its formal bid to host either the 018 or 2022 World Cup, and submitted its documents to FIFA after securing cooperative statements from rugby officials.

The Bid contains unified Australian Government support and the unified support of the other major sporting codes after the final agreements required by FIFA were signed over the weekend.

It is a welcome announcement for the game in Australia just a day after AFL boss Andrew Demetriou threw his belated support behind the bid after his code and two others (Rugby Union and League) signed a binding agreement that resolved outstanding issues surrounding stadium use and the possible suspension of other codes during a World Cup year.

Australia's World Cup Bid Finalized With Support From All Rival Codes
Goal.com
May 10, 2010

FIFA President Commends Russia's 2018 World Cup Bid

FIFA President Sepp Blatter has called Russia's bid to hos the 2018 World Cup "remarkable".

"I was there recently and what they presented is remarkable," he told the London Evening Standard. "Russia is not a country but a continent and Russia has big plans to expand."

Blatter impressed by Russia 2018 bid
ESPN
May 5, 2010

Russia and Australia Kick Up Efforts to Win 2018 or 2022 World Cup Hosting

Leaders in Russia and Australia are pushing their countriies' respective efforts to play host for either the 2018 or 2022 World Cup.

Putin added the issue to March 24's meeting of the Government Presidium of the Russian Federation, and has overseen progress on the guarantees since. The documents now having been signed, they will form part of the official bid presented to FIFA on May 14.

Putin said: "The World Cup preparations will not only require a large number of new sports facilities. They will also mean that we must develop - and are certain to do so if our bid is accepted - additional infrastructure: airports, roads, hotels and other tourist facilities in at least 10 major Russian cities, if not more. All of that would remain to be used by our people for decades to come.''

Meanwhile, Football Federation Australia chief executive officer Ben Buckley believes forecasts of social and economic growth in Asia make a compelling case for his country, which joined the Asian Football Confederation in 2006.

Australia and Russia step up World Cup bids
ESPN
April 19, 2010

Prospective World Cup Host City Atlanta Sees Economic Opportunity

This article from Global Atlanta looks at the economic boom underway in South Africa's World Cup host cities, and sees a similar opportunity for Atlanta, which is among the list of host cities for the United States' 2018/2022 World Cup bid.

Atlanta is one of 18 cities included in the U.S. World Cup bids for 2018 and 2022. Since hosting the Summer Olympics in 1996, the city has solidified its credentials for hosting big sporting events.

But it wasn't always so. Before the Games, many didn't think Atlanta could pull off the event. The city had to improve infrastructure and public safety. Every effort was made to help visitors see the city as a destination for global business.

Similarly, South Africa hopes to use the World Cup to showcase its business opportunities and overcome stereotypes, said Donald Gips, U.S. ambassador to South Africa. Crime and corruption are often cited as hurdles for doing business in the country.

South Africa's Soccer Stimulus: World Cup Boom Keeps Recession at Bay
Global Atlanta
April 2, 2010

Holland and Belgium Add Soccer Starpower to 2018/2022 World Cup Bids

Holland and Belgium have named former World Player of the Year Ruud Gullit president of the two countries' joint bid to host either the 2018 or 2022 World Cup.

Harry Been, chief executive of the bid, said: "With his reputation and enormous international appeal, Ruud Gullit's appointment is of great significance for our candidacy.

"Ruud has a tremendous football background and knowledge that we believe can be a great advantage for the bid.

Ruud Gullit appointed president of World Cup bid
ESPN
February 9, 2010

FIFA Claims 2018 Not A Guarantee for Europe

Despite the widespread belief that FIFA will select a European country to host the 2018 World Cup, officials are claiming that the field is open to bidding countries from all areas. FIFA head Sepp Blatter has stepped back from an earlier proposition that only European countries would be considered to host the 2018 tournament.

"I said it's a possibility only if other associations do not bid. It is not a decision for the executive committee to change that right of every association to bid for a World Cup.

"But the movement to go to Europe exists."

World Cup 2018 still open despite European pressure-FIFA
Reuters
January 29, 2010

Australian Football Chief Stumps for Asian World Cup

Arguing that a World Cup hosted in Asia during either 2018 or 2022 would generate the highest revenue for FIFA, Australian Football Federation Chairman Frank Lowry is pushing hard to bring the World Cup back to the Asian region for its second hosting duty.

Lowy has long championed the cause for the prestigious tournament to be held in Australia, while the likes of South Korea, Japan, Indonesia and Qatar have all expressed a desire to host the event.

Asia faces competition from Europe and North America but Lowy believes the region's rapid economic growth makes it an ideal candidate.

Australia chief backs Asia World Cup bids
ESPN
Novembr 24, 2009

15 Cities Vie for Inclusion in England's 2018 World Cup Bid

Hoping to get into the country's plans for a possible 2018 World Cup hosting gig, 15 English cities have submitted applications to play hosts during the event.

About 10 cities will be chosen from a list that includes London, Manchester, Liverpool, Birmingham, Leeds, Derby, Hull and Newcastle-Gateshead.

Nottingham, Plymouth, Leicester, Milton Keynes, Sheffield, Sunderland and Bristol are also candidates.

The chosen venues will be announced by the 2018 bid team on 16 December.

Cities make case to be in England's 2018 World Cup bid
BBC
November 26, 2009

Olympic Hopes Lost, Japan Still Eyes World Cup

Tokyo recently lost its bid to host the 2016 Summer Olympics, but Japan still has its sights set on hosting either the 2018 or 2022 World Cup.

The JFA had planned to use the proposed 100,000-seater waterfront Olympic stadium had Tokyo won the 2016 Olympic vote. Yokohama, venue for the 2002 World Cup final, has Japan's biggest stadium with a capacity of 70,000.

JFA president Motoaki Inukai wants Tokyo -- which did not host matches at the 2002 tournament -- to stage the World Cup final.

Japan plans World Cup bid despite 2016 failure
ESPN
October 5, 2009

Mexico Bows Out of 2018, 2022 World Cup Races

Citing concerns about its economy and the country's internal infrastructure needs, Mexico has withdrawn its bids for the 2018 and 2022 World Cups.

"The decision is based on two factors, the world economic situation and the investment needs in (our own) infrastructure and (that of) third parties,"' Femexfut general secretary Decio de Maria said.

Mexico withdraw from race for 2018 and 2022
ESPN
September 30, 2009

England 2018 Sites Prepare for Inspection

15 cities in England are preparing for site visits from FIFA officials to determine whether they are appropriate sites for a possible 2018 World Cup, which England is hoping to secure.

Two inspection teams from the England World Cup bid will visit all the cities over the next two months, starting at Bristol and finishing with Newcastle.

Each will have two inspections before a shortlist is drawn up by December.

Cities to put case as 2018 hosts
BBC
July 7, 2009