London Olympics 2012 | London Calling!I booked my return to ticket to London finally!
I’ll be arriving late on the 8th of August so I won’t start my actual live-reporting till the 9th. I’ll be looking at the effects and changes to London at the tail end and after the Olympics. Today I read an interesting article regarding whether or not the Olymipics is bad business for London on time.com’s site. It’s an interesting angle.
I’ve not lived in London long, certainly not steadily, however many colleagues have asked me about how the economy has changed in England. Truth is, that it’s not till this year that England will feel the hard-edged effects of the budget slashes. I can say that the Brits are overjoyed not to be part of the Euro downfall. However, this year’s Olympic events, followed by a gracious Diamond Jubilee, has glimmered many signs of economic disorder and worries.
As it is, the budget has long overshadowed the estimated budget and is now the costliest Olympic Games since Atlanta hosted it back in 1996. Professor Bent Flyvbjerg, of Oxford University has put together a report which claims that the London Olympics will be 101% over budget, as stated in his interview with NBC, see the interview here. It was originally quoted to cost about $400,000, but that number quickly inflated on the run up to the event.
Economists have pointed out that the economic benefits to hosting a mega event, such as the Olympics or the World Cup, are few. In a paper written by economists Andrew K. Rose and Mark M. Spiegel in 2009, shows that international trade does indeed have a good impact in the long run. They’ve found that cities who’ve hosted these large events have a 30 percent increase. Notably, they’ve also found that cities who’ve lost the bid also had the same positive outcome when in came to exports.
In the time that I’ve been away from London, and back visiting New York, I have seen an increased sensation towards all things British. At first I thought that it merely signalled my homesickness to my new host country, but in fact it’s the beginning of the trickle of the British export. I see the British flag posted on t-shirts, bags, chocolate bars. I hear the Clash singing “London Calling” out of random music systems. Honestly, I’ve been seeing the British flag more than our own American Flag these days!