Mega-event effects on the housing market: Evidence from the Beijing 2008 Olympic Games31 Jul 2017
Mega-event regeneration involves extensive government funds and public participation; thus, this study emphasises the importance of verifying if these financial and human investments can be justified by the net effects of mega-event regeneration. Accordingly, the contingent valuation method is used to establish a framework to quantify the welfare effects of event regeneration from the economic, social and environmental perspectives. We proposed a theoretical framework that enables the ranking of various event regeneration effects based on public welfare improvement. This holistic approach takes into account changes in economic, environmental, and social housing conditions due to mega-event simultaneously. This leads to more reliable estimation of mega-event effects on housing market. Our empirical findings indicate that, overall, accessible public transport, a sense of feeling good, air quality, relieved traffic congestion and green space are the top five welfare enhancers. Nevertheless, residents from different housing sectors or geographic regions value mega-event effects differently. Our results can assist the government to efficiently allocate limited public resources by looking after public needs. A better understanding of the heterogeneity of event regeneration effects on different housing sectors and geographic locations will also help governments to tailor public policies based on various social groups.