Social interactions and the demand for sport: an economic analysis

This paper explores the decision to participate in sports activities in the UK and the subsequent frequency of participation. The paper draws links between economic and other theories of social interaction to motivate the discussion and links these theories to assessing policy initiatives in the UK. Cluster analysis is combined with a Heckman analysis to examine the empirical evidence provided by the General Household Survey in 2002. The results suggest that social and personal capital are of paramount importance in determining sports participation and consequently it is these features that policy should focus upon.