- Beyoncé’s Impact on Swedish Inflation
- Economic Significance of Beyoncé’s Tour
- The “Beyoncé Effect” on Tourism
Considered the conflict in Ukraine or supply chain bottlenecks to be the cause of rising prices? You must be unaware of Beyoncé.
Last month’s start of the singer’s world tour in Sweden prompted such a demand for hotel rooms and restaurant meals that it has been reflected in the country’s economic statistics.
In May, Sweden reported a higher-than-anticipated inflation rate of 9.7%.
Rising hotel and restaurant expenses were the cause of the surprise.
Michael Grahn, an economist at Danske Bank, believes Beyonce contributed to the increase in hotel rates. He stated that she may have also been responsible for the unexpectedly sharp increase in recreation and culture costs.
“I wouldn’t… blame Beyoncé for [the] high inflation print, but her performance and global demand to see her perform in Sweden added a little bit to it”.
The singer’s first solo tour in seven years is without a doubt a significant economic event. At least one estimate indicates that the surge could generate nearly £2 billion by September.
Airbnb reported that after the tour’s announcement, inquiries for accommodations in tour cities spiked. Many concert tickets sold out within days, and resale market prices skyrocketed.
In the United Kingdom, sixty thousand individuals descended upon Cardiff, including fans from Lebanon, the United States, and Australia. In one instance, homeless families being housed in a hotel by the local council were reportedly evicted to make space for her fans due to the high demand for hotel rooms associated with her London concert.
Beyoncé reportedly attracted fans from all over the world to her two nights of concerts in Stockholm, where she performed in front of a combined crowd of 46,000 people. Especially from the United States, where the dollar’s strength against the Krona made tickets in the Nordic country seem like a relative bargain.
Visit Stockholm characterized the increase in tourism to the city as the “Beyoncé effect” in an email sent to the Washington Post last month.
In December, inflation in Sweden crested at 12.3%. The unemployment rate dropped from 10.5% in April to 9.7% in May, according to official figures. The financial markets had anticipated a growth rate of approximately 9.4%.
Mr. Grahn said it is “extremely rare” for one athlete to have such an impact, but huge football tournaments may.
He predicted on social media that June would see a resumption of normal trends.
