TY - JOUR
T1 - Willingness to Pay for Hosting Formula One
AU - Nielsen, Christian Gjersing
AU - Olsen, Søren Bøye
AU - Feddersen, Arne
PY - 2025
Y1 - 2025
N2 - Following Carson and Groves’s theoretical framework on incentive compatibility in stated preference surveys, we apply the contingent valuation method with a single-bounded dichotomous referendum-style choice question to estimate the willingness to pay to host a Formula One Grand Prix in Copenhagen, Denmark. Based on a sample of 2,268 respondents answering a web-based questionnaire distributed to a random sample of individuals living in Copenhagen through the Danish public digital post system, we find an annual aggregate welfare improvement in the range of €7.36–13.82 million among the 320,825 households in Copenhagen Municipality, with €9.70 million as our central estimate, not considering potential negative welfare changes from hosting.
AB - Following Carson and Groves’s theoretical framework on incentive compatibility in stated preference surveys, we apply the contingent valuation method with a single-bounded dichotomous referendum-style choice question to estimate the willingness to pay to host a Formula One Grand Prix in Copenhagen, Denmark. Based on a sample of 2,268 respondents answering a web-based questionnaire distributed to a random sample of individuals living in Copenhagen through the Danish public digital post system, we find an annual aggregate welfare improvement in the range of €7.36–13.82 million among the 320,825 households in Copenhagen Municipality, with €9.70 million as our central estimate, not considering potential negative welfare changes from hosting.
U2 - 10.1177/15270025241301080
DO - 10.1177/15270025241301080
M3 - Journal article
SN - 1527-0025
VL - 26
SP - 290
EP - 315
JO - Journal of Sports Economics
JF - Journal of Sports Economics
IS - 3
ER -