Alexa Guercia How Hockey Effects the Economy: The National Hockey League started in the United States in 1942 and consisted of the original 6 teams: Boston Bruins, Chicago Black Hawks, Detroit Red Wings, Montreal Canadians, New York Rangers, and the Toronto Maple Leafs. Hockey is ranked the fourth major league sport in North America in terms of revenue and has made an impact on not only the spectators but on the economy as well(S. Szymanksi, 2006). From the Winter Classic, to the All Star Game, and even to the devastating 2012-2013 lockout, hockey has made an impact on the United States economy in more ways than one.
The Winter Classic has been a game played in hockey since January of 2008. This event is generally held on New Year’s …show more content…
In the 2012-2013 season the National Hockey League was in a lockout for 113 days over labor disputes. The end product was a long-term agreement that will stay in place for 10 years regarding labor peace and this deal also ended several months of negotiations between the owners and the players in the NHL regarding contract limits, salary caps and floors, and revenue share. During this 113 day lockout at lest 480 games, the Winter Classic, and the All-Star game were canceled causing the National hockey League and local business’ to loose revenue causing certain cities to suffer more than others (Fox Business, 2013). Boston is the fifth wealthiest NHL team and was one of the cities that was hit hard by the lockout. The Bruins lost about $3 million in ticket sales for each game that had been canceled and the local business’ and restaurants were loosing between $850,000 and $1 million for every canceled game. The St. Louis Blues for example lot more than $1.3 million in revenue due to the shortened season because each home game bought in an estimated $65,000. The Pittsburgh Penguins generate a revenue of $2.1 million from each home game and half of that revenue goes to the local business’ while the Philadelphia Flyers were loosing about 1 million in revenue for every canceled home game. The New York Islanders officials in Nassau County expected a loss of about $60 million in “direct visitor spending” and approximately 1 million in city taxes and revenues, this includes $13 million for food and beverages, 10 million in hotel and retail, and 12 million for transportation” (Hockey and the North American Economy, 2013). New York City’s Economic Development Corporation had stated that each Ranger’s game “has a 3.2 million impact on the Big Apple Economy” and the city would
The Winter Classic has been a game played in hockey since January of 2008. This event is generally held on New Year’s …show more content…
In the 2012-2013 season the National Hockey League was in a lockout for 113 days over labor disputes. The end product was a long-term agreement that will stay in place for 10 years regarding labor peace and this deal also ended several months of negotiations between the owners and the players in the NHL regarding contract limits, salary caps and floors, and revenue share. During this 113 day lockout at lest 480 games, the Winter Classic, and the All-Star game were canceled causing the National hockey League and local business’ to loose revenue causing certain cities to suffer more than others (Fox Business, 2013). Boston is the fifth wealthiest NHL team and was one of the cities that was hit hard by the lockout. The Bruins lost about $3 million in ticket sales for each game that had been canceled and the local business’ and restaurants were loosing between $850,000 and $1 million for every canceled game. The St. Louis Blues for example lot more than $1.3 million in revenue due to the shortened season because each home game bought in an estimated $65,000. The Pittsburgh Penguins generate a revenue of $2.1 million from each home game and half of that revenue goes to the local business’ while the Philadelphia Flyers were loosing about 1 million in revenue for every canceled home game. The New York Islanders officials in Nassau County expected a loss of about $60 million in “direct visitor spending” and approximately 1 million in city taxes and revenues, this includes $13 million for food and beverages, 10 million in hotel and retail, and 12 million for transportation” (Hockey and the North American Economy, 2013). New York City’s Economic Development Corporation had stated that each Ranger’s game “has a 3.2 million impact on the Big Apple Economy” and the city would