This paper applies the synthetic control method in order to investigate the medium-run impact on the economy of the province of Turin of the 2006 Winter Olympics. It contributes to the existing literature by considering a large set of important variables (value added, tourism flows, international trade, labour and housing markets, and local public debt). It is also the first time that such a methodology has been used for evaluating the impact of the Olympic Games.
Our results show a positive effect on tourism flows, in terms of both arrivals and nights spent, and the level of public debt of the municipalities in the province of Turin over an approximately five-year period following the event. We also find an impact on the housing market in Turin, with a decrease of the centre to outskirts price ratio. We find no statistically significant effects on the remaining variables.