This paper examines whether the European Capital of Culture (ECoC) program generates lasting tourism benefits for host cities. Using a panel of 642 European cities from 2005 to 2023, we estimate event-study difference-in-differences regressions to trace the evolution of tourism overnight stays in host cities before, during, and after designation. We find a significant rise in overnight stays of around 10% during the ECoC year, but no evidence of persistent effects in the subsequent years. The contemporaneous effect is stronger in cities with lower initial tourism levels, higher unemployment, or smaller populations. Interestingly, we find evidence of significant positive indirect effects on other cities within host countries. These results suggest that the program primarily operates as a temporary visibility shock rather than a catalyst for long-term destination transformation. The findings thus challenge legacy-based narratives, showing evidence that symbolic exposure fails to translate into durable tourism dynamics.
Boto‐García et al. (Tue,) studied this question.