ABSTRACT
T wo important parameters of events must be determined in the beginning stages of an analysis: the geographic area of impact and the type of spending.
The geographic area of impact is an important characteristic of the analysis and should be determined early in the study. Generally, the geographic region selected is the region that is considering funding the event or facility. This definition of the impact region allows for a proper cost-benefit analysis. If a county government contributes funding for a sport facility, then the residents and businesses of that county are paying for the investment, and it is appropriate to determine the benefits that the county receives-not some other county or area-and compare the benefits to the costs. In reality, any major sporting event has an area of impact that is a continuous region, not divided by city or county boundaries, and the impacts decrease with distance from the event location. Additionally, there may be more than one public funding source (e.g., a city, a county, and a state); thus, the economic impact analysis might measure the impact on each of these three areas.
