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Regional Input-Output Analysis of A Mega-Event: Possible Impact of EXPO on Izmir Economy

Aydoğuş, Osman and Deger, Cagacan and Tunalı Çalışkan, Elif and Gürel Günal, Gülçin (2015): Regional Input-Output Analysis of A Mega-Event: Possible Impact of EXPO on Izmir Economy. Published in: Anadolu University Journal of Social Sciences , Vol. 15, No. 2 (2015): pp. 75-83.

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Abstract

Izmir has lost the bid for EXPO 2020. Izmir’s expectations were high, but to the best information of the authors, these expectations were never systematically quantified. This article quantifies the expected expenditures related to a mega event in Izmir due to i) additional hotel constructions, and, ii) arrival of foreign visitors. Then, the effects of these additional expenditures on regional economy are examined through a closed regional I-O model, where closure is due to endogenized consumption expenditures. The calculations are based on a regional I-O table of İzmir, available from İzmir Regional Development Agency IZKA. It is observed that constructions related to a mega event require considerable recycling imports, due to scrap metal dependency of metal production.

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