Individual labor market effects of local public expenditures on sports

By merging administrative data on public finances of all municipalities in Germany with individual from the German Socio-Economic Panel, we explore whether local expenditures sports facilities influences labor market outcomes. Our identification strategy follows a selection-on-observables approach and exploits panel structure covering 12 years between 2001 2012. The results our matching estimations suggest that both women men exposed to high annual expenditure levels (i.e. €31–€85 per capita) over 5 years, obtain approximately €150 additional household net income average. However, this effect is captured by earning gains for rather than living household. Additional analysis suggests, these gender differences, which can also be observed terms working time, hourly wage employment status, appear plausible since age cohort under consideration are less likely engage general, any publicly funded particular. Moreover, improved well-being health possible mechanisms through positive effects may unfold.