NASCAR as a Public Good

Abstract

This paper looks for evidence that either a NASCAR track or NASCAR-sanctioned event influences the monthly rents on residential units. The evidence is mixed, varying with the treatment of housing units located in or out of central cities of standard metropolitan statistical areas (SMSAs), as well as the manner in which missing housing and commu- nity characteristics are treated in the analysis. The results are reasonably clear that the presence of a track by itself has little effect, especially on housing units outside the central city of an SMSA. Specific types of races largely appear to have no impact, though in some specifications, the central city and non-central city impacts are about equal but have oppo- site signs. Overall, we must conclude that our results reject NASCAR as a source of either large benefits or costs to res- idents of the host community.