syntax varies among dbms.
if you are using mysql, then you will need to concatenate in order to build that statement as mysql does not have subselects.
SELECT CONCAT('UPDATE members set amount = ', cost, ' WHERE status = ', member, ' AND label = ', newevent, ';') FROM members m, event e WHERE ...
That's the basic idea, although the WHERE clause in the concat function could be simiplified to just use the key for the members table - if you join the tables correctly in the WHERE clause proper.
postgresql has better support for functions and subselects, btw.