Posted by Ilya Somin: Yankees Ask for $259 million in Additional Government-Backed Bonds for New Stadium: http://volokh.com/archives/archive_2008_12_07-2008_12_13.shtml#1228842035
During recessions, many people have to make do with less money than usual. But not major league baseball owners. The New York Yankees have [1]just asked New York City for an additional $259 million in tax-exempt government-backed bonds to finance the construction of their new stadium. This comes on top of the $940 million in previously approved bonds and [2]up to $450 million in direct government spending on the project. Even prior to the current funding request, the new Yankee stadium had already gotten more government subsidies than any other stadium project in American history. The rival Mets are also asking for additional government bond for their new stadium, albeit a much smaller amount. I previously criticized government funding of the new Yankee Stadium [3]here, [4]here, and [5]here. In [6]my first post on the subject two years ago, I summarized the overwhelming evidence that sports stadium construction provides few if any broader economic benefits to the community, and noted that Yankees ownership chose to build the new stadium primarily because it will increase luxury box revenue for the team. The old Yankee Stadium - build entirely with private funds - was perfectly adequate for most fans' needs, and indeed a great place to see a game. Unlike in some other cases, the government officials who granted the money can't even claim that the team would leave the city if they refused. It's not as if the Yankees would depart the biggest and most lucrative market in all of baseball. In fairness to the Yankees, many other professional sports teams have successfully lobbied for government subsidies for their stadiums. The Yankees have managed to extract more money than any of the others. But it's more a difference in degree than kind. References 1. http://sports.espn.go.com/mlb/news/story?id=3756072&campaign=rss&source=MLBHeadlines 2. http://volokh.com/archives/archive_2008_07_13-2008_07_19.shtml#1216150117 3. http://volokh.com/archives/archive_2008_09_14-2008_09_20.shtml#1221763928 4. http://volokh.com/archives/archive_2008_07_13-2008_07_19.shtml#1216150117 5. http://volokh.com/archives/archive_2006_08_13-2006_08_19.shtml#1155864420 6. http://volokh.com/archives/archive_2006_08_13-2006_08_19.shtml#1155864420 _______________________________________________ Volokh mailing list [email protected] http://lists.powerblogs.com/cgi-bin/mailman/listinfo/volokh
