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And the winner is ... The game of winning the Olympic games has become popular with cities around the world. To win the 2016 games,
And the winner is ... The game of winning the Olympic games has become popular with cities around the world. To win the 2016 games, Rio de Janeiro in Brazil spent some $50 million. Now it will spend about $50 billion to build new stadiums, other sports facilities, new bridges and roads, to extend the metro, and to double the number of hotel rooms. Source: The Economist, October 8, 2009 Use the multiplier to explain why cities want to stage the Olympic games. Question content area bottom Part 1 Cities want to stage the Olympic games because real GDP will increase by an amount _______. A. less than the expenditure on Olympic investment because the Games are always money losers for the host city but the international goodwill the city receives is worth the loss B. equal to the amount that international tourists and athletes spend while they are in Brazil C. greater than the expenditure on Olympic investment because the new workers who are hired will spend their income, the demand for goods and services increases, so sellers will hire more workers who spend their incomes and so on D. less than the expenditure on Olympic investment because the
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