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Does Proximity to a New Sports Facility Affect Existing Businesses’ Survival Time?

Geoffrey Propheter

Journal of Sports Economics, 2020, vol. 21, issue 5, 451-476

Abstract: Existing literature on the economic impact of sports facilities fails to consider whether new facilities positively affect existing businesses. To fill this gap, data on existing establishments in Sacramento, CA, active from 2004 through 2018 were collected. The outcome of interest is existing businesses’ survival time. Using an accelerated failure time model in a difference-in-difference framework, retail establishments within a half mile of the Golden 1 Center are found to have survival times 53% shorter than otherwise similar retail establishments further away. Models also reveal existing establishments in other industries complementary to sports are not affected by the arena.

Keywords: sports facility; economic development; survival analysis; establishment-level data (search for similar items in EconPapers)
Date: 2020
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Persistent link: https://EconPapers.repec.org/RePEc:sae:jospec:v:21:y:2020:i:5:p:451-476

DOI: 10.1177/1527002520917197

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