Tag Archives: Sochi

World Cup financial gains rarely materialize for host

Which is why no one of note is bidding for the 2022 Winter Games

Although some countries and cities have managed to profit from well-run major sports events such as the FIFA World Cup and the Olympics, they’re far from the norm, a prominent professor of economics says.

Victor Matheson, a professor of economics at the College of the Holy Cross in Newton, Mass., says prospective hosts need to think twice about whether the massive outlays of cash are worth it in the long run.

“The economic benefit is typically zero,” Matheson says in an interview set to air on CBC’s Lang & O’Leary Exchange on Tuesday. And even when there is a modest gain, “it’s not enough to justify the price tag,” he says.

I think we know who to blame

Because the IOC and FIFA make their money from selling TV and merchandising rights, they have no incentive to keep costs from ballooning, Matheson says.

“On paper, the IOC and FIFA don’t care whether it costs $51 billion to host the Olympics in Sochi or $14 billion to host the World Cup in Brazil, because ‘I’m not paying those costs,'” Matheson says.

From Snowy Atlanta to Sunny Sochi, It’s All About Global Weirding

Why global warming sceptics have it wrong

The “If global warming is real, then why is it cold out?” line of argument has been around since the early days of the climate change debate, but the positively Hoth-esque temperatures have increased the volume of those hoping to undercut the “inconvenient truth” of anthropogenic global warming. So, does the recent spate of cold snaps prove Al Gore a filthy, PowerPoint-loving, Oscar-winning liar? No. Sorry, Donald.

Most obviously, climate is different than weather—that’s why the Midwest and Northeast have faced three snowstorms in the past two weeks while the drought in California has been so severe that water deliveries from reservoirs to the Central Valley have been cut to zero. Climate trends are exactly that: trends. One swallow doesn’t make a summer, and one blisteringly cold month doesn’t prove 97 percent of climate scientists wrong.

Another key component of “global warming” is right there in the name: “global.” In December 2013, North America was colder than average, but Russia and most of Europe were far hotter. Despite what Ted Cruz thinks (or wants), the world extends beyond the continental United States, and most of it has been crazy hot. For every cold snap in the U.S., there’s a wildfire in Australia so intense that it creates its own weather.

It’s also important to note that although, baby, it’s cold outside, it’s not nearly as cold as it was generations ago. The East River froze at least a dozen times between 1780 and 1888. In fact, after a particularly hard winter in 1866-1867, frustration with halted ferry service eventually led to the construction of the Brooklyn Bridge. As webcomic xkcd noted, St. Louis, once the frozen home to a handful of sub-zero temperatures every year, hasn’t had a day that cold since the 1990s. That’s the thing about extreme weather: It’s extreme. The colds get colder, the hots get hotter, and the hurricanes get more destructive.

The struggle of people in Russia’s ‘Rust Belt’

Tension rises as the Kremlin tries to force thousands to leave their homes

A tide of discontent is sweeping across Russia’s “rust belt” as the Kremlin tries to convince tens of thousands to relocate from their homes.

Authorities are offering up to $25,000 in state support for people willing to leave 142 struggling so-called “monotowns,” communities depending on a single industry.

Many Russians are unhappy about being asked to leave places that several generations of their families have called home. Critics also allege the level of compensation isn’t enough and say it will create dozens of “ghost towns.”

“I honestly earned pennies, but still income,” he said. “I am struggling to sell my house for $2,000 — nobody wants it. If I move to a big town, I will have to spend at least $60,000 to buy myself a place.”

By Dec. 28, the final 800 mill workers will lose their jobs — another significant blow to the Siberian town of 14,000 people.

The fate of 700 other people still employed at a different part of the mill which provides heat to all of Baikalsk will be decided by the spring.

Russian Prime Minister Dmitry Medvedev last year pledged $1 billion to transform the town on the edge of Lake Baikal into a tourist hotspot. Lake Baikal is a natural treasure that contains more water than all of the Great Lakes combined.

But there has been little sign of investment in the wake of Medvedev’s visit. The town’s central square remains unpaved, hotels and cafes struggle and local newspapers publish pages of advertisements placed by residents looking to sell their apartments in Baikalsk and move closer to Moscow or St. Petersburg.

The lack of action has resulted in angry protests by fired workers in the regional center of Irkutsk.

“The Kremlin simply lied to us; they promised to first create jobs and then close the mill in 2015,” said Yuri Nabokov, the leader of the mill’s professional union. “The mill is closed and hundreds of workers have no chance to live their normal lives in their hometown with their families; authorities tell us to go to far north and work on shifts at oil fields – that makes us even angrier.”

The article also points out the Sochi are costing $50 billion.  How messed up is that?  Vancouver by comparison cost around $1.84 billion and generated about $2.5 billion in GDP.  What is Russia doing?