The Olympic Games is an international sports event which occurs every four years. The game goes a long way back from the ancient days in 8th century BC as a way for the Greeks to salute their gods. Since then, the Olympic has gone through many changes to the modern games today, and the consistent issue making headlines is the controversy over the burdens of host countries. According to a report by the Board of Audit, Japan is likely to spend $25 billion to prepare for the games – and the cost is still expected to rise.
Economists argue that both the short and long term benefits of hosting these games are at best exaggerated and at worst, they don’t even exist. As a host country for the Olympics, they are responsible for building an Olympic village, media & television facility, a media village, ceremonial space, transportation infrastructure, and so on. These infrastructures not only cost a lot to build, but it is also environmentally unfriendly as it changes landscapes and uses more natural resources.
Additionally, the International Olympic Committee (IOC) over the years has been taking up a large percentage of the game’s revenue. Back in 1996 from the Atlanta games, the committee only took up 4%, but they now take up to 70% based on last Rio De Jenario games in 2016. Despite interventions by the committee to promote reforms known as the Olympic Agenda 2020, some economists think that more drastic measures are necessary to spare the burdens of hosting the games altogether.