3. Financials of Northeast Ohio
LeBron’s presence has a tangible effect on Cleveland’s financial actuals. Nik DeCosta-Klipa of Boston.com reported on a recent Harvard University study, conducted by Harvard Kennedy School professor Daniel Shoag and American Enterprise Institute resident scholar Stan Veuger. The study verified James’ direct impact:
“‘Specifically, his presence increased the number of restaurants within 1 mile of a stadium by about 12.8% and the number of eating and drinking establishments by about 13.7%
“Employment at the establishments also rose 23.5 percent. However, as the distance from the stadium increased, the James effects decreased. And outside seven miles, his presence had no significant impact.
“This confirms our suspicion: that superstars can make a difference that has a noticeable economic impact, and that the impact is very local.”
This is especially true for the Akron-born-and-raised James, who Ohioans and Midwesterners can identify with directly. James is tremendously aware of his effect on his home region, even recently surprise visiting Goodyear offices in Akron. The public and literal monetary value of the team would be cut significantly should he leave, which Gilbert’s surely aware of. The deep playoff runs alone generate millions for Cleveland’s downtown.
Next: Wilt Chamberlain Effect
