Sports mega-events and inequality - why do we host them?
Sports mega-events such as the Olympic Games and football World Cup are increasingly viewed by national and local governments as good ways of stimulating economic growth through tourism and foreign investment. City and national governments spend vast amounts of capital on bidding procedures, promising rich economic rewards, employment generation, as well as stimulation of long-term economic growth. Yet, almost all of the published evidence shows that that few predicted benefits of mega-events ever materialise, whilst estimated costs of constructing stadiums and large-scale infrastructure projects are nearly always affected by massive cost overruns. Considering this evidence, many have questioned why governments want to host such events in the first place.
Often, when developing cities or nations wish to host a mega-event, the project is motivated by equity concerns. It may be argued that stimulated economic growth from the event will trigger wider processes of economic and social integration in cities, for example. This was certainly the case with the 2010 football World Cup in South Africa – the massive spending and preparations were justified by the objective of addressing the social and spatial inequalities of the apartheid past. But do the outcomes for the host communities ever match these promises?
With the 2012 Olympic Games and 2014 World Cup in Brazil around the corner, it would be highly relevant to reflect on the relationship between mega-events and inequality. The questions to guide this discussion are:
What are your experiences with mega-events and issues of inequity?
Are there any good policy examples of how mega-events can be used to promote equity?
What are some examples of groups and organizations that contest the assumed benefits of hosting mega-events?

Dr. Piyush Ranjan Rout, 23 May 2012I believes cities have to host these mega events and they are more inclusive than exclusive. Look at China; the whole country & Beijing perception by people around the globe were changed with its successful hosting of Olympics.
Thembi Luckett, 25 May 2012The Beijing Olympics, similarly with the South African 2010 FIFA World Cup, accompanied a range of human rights abuses, shutting down of democratic spaces and pushed thousands of the urban poor deeper into poverty. Mega-events allow the “corporate rights” of sports-media-business alliances to eclipse the rights of urban inhabitants, including their right to use and produce urban space in an egalitarian manner. As such, mega-events consistently undermine those human rights, which they are purported to promote.
Broudehoux (2007: 393) argues that the planning for the 2008 Beijing Olympic Games undermined principles of spatial justice: “Olympic redevelopment exacerbated preexisting socio-spatial polarization, further disenfranchising Beijing’s new poor while allowing its new rich to expand their control over the urban core”. In the lead up to the 2008 Olympic Games in Beijing, COHRE (2007) estimated that over 1.25 million people were displaced by 2007 due to Olympics-related urban redevelopment, with at least another quarter of a million displacements expected in the year prior to the staging of the event. Furthermore, residents were often forcibly removed by “eviction squads”, which adopted tactics ranging from physical violence to the disconnection of utilities and the intentional damage of houses. There was a lack of transparency in decision-making processes as well as the violent repression anti-eviction protests. The increased property values as a result of Olympic redevelopment excluded the poor from living within the urban centre. Residents were relocated to faraway suburban areas, raising issues related to access to the workplace and livelihood opportunities (COHRE, 2007).
In addition to large-scale evictions and repression, part of the city-wide ‘clean- up’ process included ‘Re-Education Through Labour’ (RETL). RETL is a commonly used form of imprisonment without charge and was expanded to include people conducting unlawful advertising or leafleting, operating unlicensed taxis or unlicensed businesses, vagrants and beggars. Members of the working poor were also subjected to disciplinary technologies (”civilization campaigns”) designed to produce tourist-friendly, “modern” Chinese subjects and up to 400,000 migrants were displaced (COHRE, 2007).
All of this raises concerns for the urban poor in the upcoming FIFA World Cup in Brazil.
Caroline Skinner, 23 May 2012The experience in South Africa of hosting the 2010 World Cup was that it was very positive for social cohesion but really problematic in terms of urban development issues. This is well outlined in pre and post event analyses – see for example Pillay and Bass (eds) “Development and Dreams: The Urban Legacy of the 2010 Football World Cup.” Cape Town: HSRC Press. (Available at http://www.hsrcpress.ac.za/product.php?productid=2259) but also Cottle, E. (ed.) 2011. “South Africa's World Cup: A Legacy for Whom?” Scottsville: University of KwaZulu-Natal Press. Cottle for example, does a pretty thorough post event analysis indicating that economically, FIFA and the big multi-nationals, were the ones making the profits. In 2003 hosting the World Cup was estimated to cost the country R2.3 billion, the 2010 expenditure calculations were R39.3 billion (divide this by +-8 to get US dollar amounts). R22.9 billion of this was spent on stadia and related infrastructure. Many argued in a context of such poverty and inequality - the money could have been much better spent on for example on much needed low cost housing. These stadia that are now white elephants costing cities millions of rands annually in maintenance. In Cape Town for example there was an existing stadium that met FIFA requirements but the FIFA committee wanted a different view of table mountain so billions were spent on a new stadium. A few weeks after the event the French company that had agreed to maintain this stadium pulled out citing that they couldn’t break even. The maintenance costs are now for the cities account. This particular stadium was built on one of the few pieces of inner city land that could have been made available for low cost housing. Hosting these events shape cities in ways that are irreversible and often exclusive.
Development and Dreams :: The urban legacy of the 2010 Football World Cup
http://www.hsrcpress.ac.za/product.php?productid=2259
Sally Roever, 24 May 2012To respond to the question "What are some examples of groups and organizations that contest the assumed benefits of hosting mega-events?," I would cite StreetNet International's 'World Class Cities for All' Campaign (http://streetnet.org.za). It just published a very interesting report on street vending in all 12 FIFA host cities that documents a deterioration in the working conditions of street vendors as the World Cup approaches. This trend is consistent with the evictions of informal workers and informal settlements that have accompanied the onset of other mega events, which are well documented, as James and Caroline have pointed out. In fact, just a few days ago, the local administration in São Paulo, Brazil announced a total ban on street vending and revoked the existing licenses of street vendors in several parts of the city (http://www.redebrasilatual.com.br/blog/desafiosurbanos/ambulantes-organizam-resistencia-juridica-contra-perseguicao-em-sao-paulo/view) – a move that would seem consistent with other mega events, although the link was not made explicit by the São Paulo administration, as far as I know. In that case, the Gaspar García Center for Human Rights (http://www.gaspargarcia.org.br/) is opposing the ban.
Esther Ojeah, 24 May 2012While, i may not want to question researched doubts that hosting, building mega-sports structures appear not beneficial, I am convinced from practical observations that sports is amongst most effective phenomenon transforming, promoting, equitable opportunities in global city, countries. Particularly for developing nation. Cities, government administration only needs to analyze whether it is viable or necessary to be wholly or partially involved in sports infrastructural development or just set oversight, policy standards. Then lets sporting talents, various games be introduced and we see th immense development of different talents from different background and gender. In west Africa precisely, sports have transformed most of our deprived (city, ghetto youths, teenagers to role model millionaire. From Chelseas Drogba,(cotedivoire national), Mikel(Nigerian national) Essien(Ghana national)....even in track and fields or is it the different age grade sports. Most of these teenagers, youths would have end up as delinquents!!
Esther Ojeah, 24 May 2012In my comment above, i had forgotten to add this pic. Attached as shown in most global media today is picture of Chelsae's Didier Drogba, winners of highly globally watched UEFA finals football tournament last week in Germany. Drogba caring Olympic touch for forthcoming games in UK was delightfully mobbed by ecstatic public: elderly, youths, children... is there any doubt about transforming impact of sport
Polyana Albergaria, 25 May 2012History has shown that mega-events have happened very few times in cities of developing countries because of the expenditure, the infrastructure requirements, and the need for political stability. Unfortunately, there are still doubts as to whether the majority of the cities in developing countries would be able to stage an event on this scale. For instance, the sale of television rights and sponsorship now characterizes a huge accumulation of capital from around the world, which is presently being concentrated on further improving already prosperous cities from developed world. Perhaps, the advantages of Olympic resourcing would be better focused on poorer cities more in need of large investment and environmental improvement.
It is important to mention that most development projects before the mega-events can encourage the modernization of infrastructure and environmental improvements. These improvements consist of mobility, sanitation, provision of social and cultural infrastructure, and also the construction of new residences, or the rehabilitation of the existing ones, which may amplify the availability of housing stock in the city.
Although mega-event can help nations to progress to a better stage of development, the experience of Cape Town’s bid for the Olympic Games shows that there are still many concerns on crime to host the games in developing countries. Hundreds of new houses for athlete housing were proposed to be build for the games where visitors would stay in low-crime areas, which mean that most of the new construction would happen in areas of the city that were in the least need of rehabilitation. In addition, during the years prior to the mega-events, displacement for urban development, “hiding” the poor from foreigner visitors, and discriminating against marginalized groups all frequently occurs. The negative consequences of these practices are mostly felt by the vulnerable population such as low-income residents, migrants, elderly, and street vendors.
Post-events examinations suggest that the real economic benefits are often substantially less than what is expected by promoters. In spite of these conclusions, the promise of substantial economic impact persists to provide a justification for public subsidies for mega-event infrastructure.
James Duminy (Moderator) from South Africa, 31 May 2012Here is a link to a very relevant article on the benefits associated with sports tourism: http://www.oxfordbusinessgroup.com/economic_updates/south-africa-debating-sports-tourism-benefits
South Africa: Debating sports tourism benefits | Oxford Business Group
http://www.oxfordbusinessgroup.com/economic_updates/south-africa-debating-sports-tourism-benefits