The Economic Impact of Sports Stadium Construction: The Case of the Construction Industry in St. Louis, MO



This article examines the St. Louis construction industry’s employment with special attention given to the periods during which the Kiel Center and the Trans World Dome were being built. We analyze whether the construction of a major sports stadium increases construction industry employment. An econometric model is developed to explain the times series trend of construction industry employment in the St. Louis SMSA. The statistical evidence suggests that the levels of employment in the construction industry were neither higher nor lower during the construction of these stadia. It is argued that construction on these projects merely substituted for other construction projects in this SMSA.