1. CHAPTER 4 DISCUSSION QUESTIONS
1) In your opinion, should public subsidies be used to finance sport facilities?
2) What franchise became the first major professional sport team to move from the Midwest or northern section of the
US to the West Coast?
3) What problem did the Rams' move create for visiting teams, & how did the Rams help with this inconvenience?
4) How was the land in Los Angeles acquired for the Dodgers stadium?
5) What are "cookie-cutter" facilities?
6) How did the palace at Auburn Hills & Camden Yards spur a change in the type of facilities that were being built?
7) How do professional franchises & facilities generate economic activity?
8) What are some questions that sport economists raise about the economic effect of sport franchises' & facilities'?
9) What "psychic benefits" do sport organizations provide?
10) What is BIRGing?
11) What economic & psychic benefits did the Packers recent Super Bowl provide the town of Green Bay?
12) What is the most common method that governments have to raise money for professional sport facilities?
13) Explain how each of the following types of taxes can be used to subsidize professional sports.
A) Sales Tax
B) Property Tax
C) Tourism Taxes
D) Sin Taxes
E) Entertainment Taxes
14) What stadium did the citizens in and around Denver agree to fund through a sales tax increase?
15) What Seattle stadium was partially funded by a variety of tourism taxes?
16) What Ohio stadiums were funded through cigarette & liquor taxes?
17) Though not utilized often, what is perhaps the best method of taxation to construct a professional sports' facility?

2. IF YOU WERE THE MAYOR OF THE CITY THAT LYNETTE
JONES’ MINOR LEAGUE BASEBALL FRANCHISE IS
LOCATED, WOULD YOU AGREE TO BUILD HER TEAM A
NEW STADIUM?
PROS & CONS?

3. “Dolphins Working on Tech Upgrades for Sun Life Stadium”
SBJ: February 18-24 SBJ
Page 13

4. 1) What is the name of the Dolphins stadium?
-SUN LIFE STADIUM
2) What is the seating capacity of the stadium?
-75,450
3) Six years ago what did the Dolphins become one of the first big league
teams to do?
-INSTALLED CISCO’S STADIUM VISION IPTV CONCOURSE DISPLAY
SYSTEM AND DIGITAL AUDIO & VOICE MESSAGING PLATFORMS
4) The team's proposed stadium upgrades will cost how much?
-$400 MILLION

5. 5) The team's proposed stadium upgrades is pending governmental approval of what?
-PUBLIC MONEY TO HELP FINANCE THE PROJECT
6) In the stadium's 190 suites, the intent is to replace phones with what?
-COMPUTER TABLETS TO ORDER FOOD & DRINK AND TO PUT IN SMART TVs WITH
SKYPE FOR CORPORATE MEETINGS
7) What are the Dolphins doing to remain on the leading edge of technology?
-MOVING TO A “VIRTUAL CONCIERGE” ENVIRONMENT IN THE SUITES
8) What does Stadium Vision Mobile provide?
-LIVE VIDEO & REPLAYS WITH UNIQUE CAMERA VIEWS FOR USERS OF MOBILE
DEVICES
9) What is one of the biggest price points for Stadium Vision Mobile?
-CABLING & LABOR

6. THE PUBLIC SPENT $27 BILLION ON BUILDING, LAND, &
INFRASTRUCTURE FOR 167 MAJOR LEAGUE SPORTS
FACILTIES FROM 1990-2006.

7. IT IS ESTIMATED THAT THE TOTAL PUBLIC COSTS FOR
YANKEE STADIUM & CITI FIELD IS $1.8 BILLION.

8. WHAT ARE THE PROS & CONS OF USING PUBLIC FUNDS
TO SUBSIDISE PROFESSIONAL SPORTS FACILITIES?
THE BIGGEST PRO IS THAT THESE FACILITIES REVITALIZE
THE DOWNTOWN AREA WITH JOBS & COMMERCE.
THE BIGGEST CON IS THAT THE PUBLIC FUNDS CAN BE
BETTER SPENT ELSEWHERE, LIKE ON PUBLIC WORKS
PROJECTS & EDUCATION.

9. MISSISSIPPI RIVER BRIDGE COLLAPSE
-WAS AN 8-LANE STEEL TRUSS ARCH BRIDGE THAT
CARRIED INTERSTATE 35W ACROSS THE MISSISSIPPI
RIVER IN MINNEAPOLIS, MN.
-DURING THE EVENING RUSH HOUR ON 8/1/07 IT
COLLAPSED KILLING 13 PEOPLE & INJURING 145.
-THE NATIONAL TRANSPORTATION SAFETY BOARD (NTSB)
CITED A DESIGN FLAW AS THE CAUSE OF THE COLLAPSE
& THE ADDITIONAL WEIGHT ON THE BRIDGE AT THE TIME
OF THE COLLAPSE CONTRIBUTED.
-THE BRIDGE WAS NOT ROUTINELY INSPECTED.
-THE TWINS GOT PUBLIC FUNDING TO BUILD TARGET
FIELD THE YEAR BEFORE THE COLLAPSE.

11. 2) WHAT FRANCHISE BECAME THE FIRST MAJOR PROFESSIONAL
SPORT TEAM TO MOVE FROM THE MIDWEST OR NORTHERN SECTION
OF THE US TO THE WEST COAST?
CLEVELAND RAMS
-MOVED TO LA IN 1946 & BECAME THE LOS ANGELES RAMS.
-PLAYED HOME GAMES IN THE LOS ANGELES MEMORIAL COLISEUM
(SITE OF THE 1932 SUMMER OLYMPICS).

12. 3) WHAT PROBLEM DID THE RAMS’ MOVE CREATE FOR VISITING
TEAMS?
IT WAS MORE EXPENSIVE & TIME CONSUMING FOR EAST COAST
TEAMS TO TRAVEL TO THE WEST COAST.
HOW DID THE RAMS HELP WITH THIS INCONVENIENCE?
THE RAMS PROVIDED AN ADDITIONAL $5000 ABOVE THE NORMAL
REVENUE SHARING DURING THEIR 1ST SEASON IN LA FOR VISITING
TEAMS.

13. PLEASE PUT ELECTRONIC DEVICES AWAY
DISCUSSION:
-WHAT IS THE MOST UNBREAKABLE SPORTS RECORD?
-STEVE
TODAY:
-NO NEW DISCUSSION QUESTIONS DUE
-WE WILL CONTINUE/FINISH OUR DISCUSSION OF CHAPTER 4
HOMEWORK:
-KRIS KRUSZKA CURRENT EVENT
-ANSWER CHAPTER 5 DISCUSSION QUESTIONS
-WED: CHAPTER 4 & 5 & STUDY GUIDE POSTED ON BLOG
-FRI: CHAPTER 5
-3/11: EXAM 1 REVIEW
-3/13: EXAM 1

14. 4) HOW WAS THE LAND IN LA ACQUIRED FOR THE DODGERS
STADIUM?
EMINENT DOMAIN

15. 5) WHAT ARE “COOKIE-CUTTER” FACILITIES?
STADIUMS THAT HAVE FEATURES SIMILAR TO ONE ANOTHER.
-DURING THE 1960’S & 70’S CITIES BEGAN TO BUILD OR RENOVATE FACILITIES
TO ATTRACT OR RETAIN PROFESSIONAL FRANCHISES.
-STADIUMS WERE DESIGNED TO MAXIMIZE SEATING CAPACITY BECAUSE
TICKET SALES WERE ONE OF THE MOST IMPORTANT REVENUE SOURCES.
-MULTIUSE FACILITIES BECAME THE NORM SO FOOTBALL & BASEBALL TEAMS
COULD SHARE THE FACILITY.
-FACILITIES WERE CONSTRUCTED IN SUBURBAN AREAS WHERE ENOUGH
LAND WAS PRESENT TO HOST THE FACILITY & THOUSANDS OF PARKING
SPACES.

16. 6) HOW DID THE PALACE AT AUBURN HILLS SPUR A CHANGE IN THE TYPE OF
FACILITIES THAT WERE BEING BUILT?
THE PALACE HAS 180 LUXURY SUITES THAT GENERATES THE PISTONS
MILLIONS OF DOLLARS IN REVENUE.
-CONSIDERED TO BE THE FIRST MODERN-STYLE NBA ARENA WHEN IT
OPENED IN 1988
-ITS LARGE NUMBER OF LUXURY SUITES WAS A MAJOR REASON FOR THE
BUILDING BOOM OF NEW NBA ARENAS IN THE 1990’S.
-THE PALACE HAS THE LARGEST CAPACITY IN THE NBA (22,076) WHICH
HELPED THE PISTONS RECORD THE LEAGUE’S HIGHEST HOME ATTENDANCE
FROM 2002-08.

17. 6) HOW DID CAMDEN YARDS SPUR A CHANGE IN THE TYPE OF FACILITIES
THAT WERE BEING BUILT?
PROVIDED FANS MODERN AMENITIES PACKAGED IN A RETRO STYLE.
-ORIOLE PARK AT CAMDEN YARDS WAS THE 1ST MAJOR LEAGUE DOWNTOWN
“RETRO” BALLPARK WHEN IT OPENED IN 1992.
-ON 8/19/08 THE STADIUM HOSTED ITS 50 MILLIONTH FAN, A MILESTONE
REACHED IN JUST 17 SEASONS, THE FASTEST IN MLB HISTORY.
-SINCE 1992, THE STADIUM HAS HOSTED THE 3RD-MOST NUMBER OF FANS IN
MLB.
1) YANKEE STADIUM
2) DODGER STADIUM

18. 12) WHAT IS THE MOST COMMON METHOD THAT
GOVERNMENT HAVE TO RAISE MONEY FOR
PROFESSIONAL SPORT FACILITIES?
CHANGE THE TAX CODE

19. FACILITY REVENUE STREAMS & FINANCING
THERE ARE 3 CATEGORIES OF FACILITY REVENUE
SOURCES:
1) PUBLIC
2) PRIVATE
3) PUBLIC & PRIVATE COMBINATION
-PUBLIC REVENUE: TAXES
-PRIVATE REVENUE: OUTSIDE COMPANIES
-PUBLIC & PRIVATE: COMBINATION OF REVENUE
STREAMS

20. TAXES
THE 4 MAIN PURPOSES OF TAXATION (4 R’S):
1) REVENUE: RAISE MONEY TO BUILD & FIX
2) REDISTRIBUTION: TRANSFER WEALTH FROM
RICHER SECTION OF SOCIETY TO POORER SECTIONS
3) REPRICING: TAXES ARE LEVIED TO ADDRESS
EXTERNALITIES (TOBACCO TAX)
4) REPRESENTATION: CITIZENS DEMAND
ACCOUNTABILITY