School of Business, Economics and Law, Goteborg University, Vasagatan 1, P.O. Box 610, Gothenburg SE-405 30, Sweden

Correspondence: Tommy D Andersson, E-mail: tommy.andersson@handels.gu.se

Received 5 October 2007; Revised 5 November 2007; Accepted 4 December 2007.

Abstract

Much academic effort has been invested in the development of methods and models that measure economic impacts from mega-events, so that academic knowledge in this area is quite coherent and well established. There are three different types of analysis that address the issue: input–output analysis, cost-benefit analysis and computable-general-equilibrium analysis. In this article, academic knowledge about these three major approaches to economic impact analysis of mega-events is presented. All three have their advantages and disadvantages, as will be discussed. A framework of analysis, synthesizing the three approaches, is also suggested, before concluding remarks regarding the economic impact of mega-events are made, based on empirical studies from a number of mega-events.