An Assessment of the Economic Impact of a Multipurpose Arena
Author: RONALD JOHN HY AND R. LAWSON VEASEY
Published in PAM, Vol. 5 No. 2
This research project was conducted to assess the economic impact
of an arena on the economy of Pulaski County, Arkansas. Money to build
the arena will come from three sources: (1) $20 million from a one-cent,
one-year countywide sales tax levy, (2) $20 million from the State of
Arkansas, and (3) $10 million from private donations. An input-output
analysis was conducted to analyze the economic impact of the arena on the
community for years 1998 through 2000.
Total industry output showed an increase of $46.7 million in the
value of industry production over the three years. A final positive feature
was the addition of 153 net new jobs directly and indirectly resulting from
arena activity in Pulaski County during the initial three years of the project,
most of which were in the construction sector.