Quote:
Originally Posted by GGG
If you want to play anecdote the money spent on tickets by people living in Calgary leaves the province at a greater rate than money spent on other options. Hockey is a wealth concentrator. The hockey players wealth is then spent on luxury goods with a large component that is out of market. If you look at one of the best ways to stimulate an economy it is to give money to average people and let them spend it as it has a multiplier effect as its spent from business to business. This is the opposite of the flames when a large number of average people spend large sums of money concentrating it into a small number of people which then leaves the province through investments, vacations and luxury goods.
So if you get rid of the flames yes a small % of less money comes into the city but a larger amount of money stays in the city as people eat out more and spend the money in the local economy instead of flames tickets.
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This assumes that the majority of revenues are gate receipts. If a large portion of HRR is TV revenue, then the fact that the players don't keep their money in the city is less relevant because that money came from the TV deal anyway.
Also, the claim that people spend their money in the local economy is dubious.
You assume the players spend their money elsewhere, but assume STHs will spend their money in town. Can you not see the weakness in these assumptions?