The Analysis of the Impact of Sports Events on Socioeconomic Development

Abstract

With the sudden rise of various sports events in recent years, the sports industry has gradually come into the limelight, and how to grasp the economic benefits as well as the external impacts brought by sports events will become a problem that must be faced. Based on the impact of large-scale sports events on the local economy and the stock market, this paper studies the various impacts of sports events on society through data collection and comparative analysis and focuses on the negative impacts that are easy to be ignored. Among them, in the stock market, through collecting the stock market fluctuations during the recent Olympic Games, it is estimated that the Olympic Games will disperse the stock market, and further lead to the stock market downturn, and weak rebound. In terms of the local economy, sports events can promote development, whether in terms of social infrastructure construction or nominal GDP. However, the effect of sports on urban economic development is not as great as that of paper data, because the money spent on sports in people's leisure time is nothing more than the replacement of other entertainment, which cannot bring about additional consumption. The conclusion shows that the development of the sports industry is accompanied by certain losses in other aspects, so it is necessary to balance the development plan reasonably in order to maximize the social benefits.