Henrico County (suburban Richmond, Virginia) is in the process of constructing a 17,000-seat arena and convention center that will have accompanying commercial developments, condos, apartments, etc. It is labeled "Green City" and will cost $2.3 billion. Several hundred million dollars of public funds will be used to help pay for the arena portion of the project.

1. Under what circumstances will this investment of public funds pay off for Henrico County? 

2. What does empirical evidence on past investments have to say here?

Answer rating: 100% (QA)

The investment of public funds in the construction of the arena and convention center in Henrico County may pay off under the following circumstances a Economic Impact If the project attracts signific... View the full answer