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For organizers and athletes, holding the Tokyo Olympics and Paralympics with or without domestic spectators may make a huge difference.

However, staging the major sporting event amid the coronavirus pandemic with spectators reduced to a maximum of 10,000 per venue or 50% of capacity — whichever is smaller — may not, by itself, make much of a difference when it comes to the economy. But some economists have raised a red flag that the economy could receive a heavy blow, rather than a boon, from the postponed Olympics depending on whether Japan can keep the spread of the virus in check.

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