Sunday, February 11, 2018

Super Bowl LII Opportunity Cost $9 Billion

Since the most promoted and observed sporting event in the US is held on a late afternoon Sunday, most football fans probably aren't ditching other duties in order to watch it on television. It is, however, the television program that entices the largest audience of the year.

The 2018 Super Bowl LII, held in Minneapolis, MN on February 4, didn't set any viewer records but still managed to lure an audience of 103.4 million, according to the Nielsen people that determine television ratings.

Advertising on the 3 hour and 46 minute production cost a total of 414 million dollars. The commercials and other scenes not related to the actual game itself took up 49 minutes and 35 seconds of the program, 22% of the total broadcast time.

On the basis of these numbers, and the average American hourly wage, we can speculate that in order to watch this classic of athletic excellence viewers willingly gave up on an income of a little less than $9 billion. That represents only money that wasn't made. It doesn't include the cost of beer, chips, guacamole and chicken wings. Expenditures unrelated to opportunity cost, law enforcement overtime and trash clean-up, are not included.

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