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Winner’s Curse? The Economics of Hosting the Olympic Games

Organizers of the London Olympics are feeling the heat for the sudden cost overruns on their already inflated $14.7 billion official budget, particularly now that government figures show Britain is still mired in recession despite all the recent Olympic spending.But those who follow Olympic spending closely say the Brits are actually doing a number of things right to ensure the city gets some long-term value from these 2012 Games.