ABSTRACT
Academic research has documented that mega events fail to deliver the expected economic results. Despite this, cities and nations have usually been willing to bid for the events, except from some short periods, where the interest to host the Olympics has been moderate. One reason for this paradox is that the benefits are spread on stakeholders who operate as free-riders that do not participate in funding the events. Many of them can nevertheless influence the bidding process, for example lobbying politicians to give the necessary funding. Furthermore, the events also create impacts of a character that cannot be measured in monetary terms, as for example the “feel-good” effects. If the voters emphasize these effects, this can persuade politicians to give the necessary funding.
