Question 1

Let’s assume the research is correct, and stadiums are terrible investments for cities
The stadiums as investments in the cities are a poor way of using taxpayer money. This is
because they rarely recognize the benefits which their supporters usually claim. And they usually
shift the tax revenue away from more important needs. The cities that are looking to advance
their economic attractiveness should no rely on these professional sports teams. Instead, they
should reduce levies and invest much more in cost-effective projects, like the advanced
infrastructures. The government should provide franchise to private owners who would be
required to pay the rental payment, which is equal to the total fixed cost of building the stadium,
thus lowering the number of tax dollars.
Question 2
For the federal or state to reduce tax on stadium construction, the sovereignties should split
because of the tax benefit that plays a role in public financing. Each one of these has a taxing
power in which it can award the benefits independently. One form of utilizing federal public
funds is by forming of tax exemption bonds. This includes the qualifying bonds issued to pay for
them for stadium construction and renovations since the cost of bond debts is lowered because an
interesting figure lower than the ongoing market rate for taxable bonds may be paid while still
providing the marketing yield to the purchaser, due to the taxing exemption effects on the
interest earned.