More than just a sports competitionModern Olympics have grown in various aspects including athlete participation, contested sports disciplines, and spectator numbers. The Games have turned into mammoth events, necessitating astronomical amounts of expenses from organizing entities. The Tokyo 2020 Olympics and Paralympics are no exception to this.
Why would any city voluntarily host the games, then? For one, hosting the Games puts cities on the center stage of the world’s attention for the period of the events, boosting the location’s reputation permanently. The host city preparation for the Games typically involves investments in a broad variety of areas, including in infrastructural projects such as transportation systems, architectural masterpieces, and, in general, technological modernization. The benefits reaped by hosting the Games are often intangible and hence difficult to quantify. Tokyo committed itself to this high-risk high-reward investment in 2013 when it won the bidding to become the host city in 2020. It was an attempt to repeat the positive economic and technological ripple effect the Tokyo 1964 Olympic Games had on Japan. For the Tokyo 2020 Olympics and Paralympics, organizers anticipated a positive economic ripple effect during the decade following the Games that would be multiple times higher than the original investment.