The Economics Of Competitive Sports

The essence of any sports contest is competition. The very unpredictability of a sporting outcome distinguishes it from, say, an opera performance. This volume presents a state of the art overview of the economics of competitive sport along two main th

This volume presents a state-of-the-art overview of the economics of competitive spor with contributions from leading experts in the field. The inistial chapters present a discussion of the organisation of sports and competition, exploring how leagues form, operate and compete. The second part of the book deals with the competition, rewards and outcomes of actual organised leagues and contests. Competitive balance and responses to incentives are covered extensively.

For decades, sports economics has been set within the framework of equilibrium economics, in particular when modelling team sport leagues. Based on a conviction that this does not reflect real life, this book addresses a gap in the literature and opens up a new research area by applying concepts drawn from disequilibrium economics. It is divided into two parts, the first of which focuses on economic disequilibrium in sports markets and competitive imbalance in sporting contests. The second part concentrates on soft budget constraints and their consequences for club governance and management.

This timely Modern Guide offers critical insights into developments in both professional and recreational sports through the lens of the economic forces that determine them. It explores the benefits of the relationship between sports and economics, highlighting ways that economic research can help to understand sports better and the ways that sport provides opportunities to test economic theories.

"What economic rules govern sports? How does the sports business differ from other businesses? [This book examines] the fundamental economic relationships shaping modern sports. Focusing on the ways that the sports business does and does not overlap with economics, the book uncovers the core paradox at the heart of the sports industry. Unlike other businesses, the sports industry would not survive if competitors obliterated each other to extinction, financially or otherwise--without rivals there is nothing to sell. Playbooks and Checkbooks examines how this unique economic truth plays out in the sports world, both on and off the field"--Publisher marketing.

This book takes a multi-disciplinary approach to analyzing the nature of ‘competition’ and ‘competitive advantage’ within the U.S. pro sport industry. By many measures, the four major pro sports leagues in the U.S. – the National Football League (NFL), National Basketball Association (NBA), National Hockey League (NHL), and Major League Baseball (MLB) – are now some of the most successful business entities in the country. While these established leagues have generally been highly profitable throughout their respective existences, the past two decades have been particularly lucrative, with franchise values in all four leagues growing rapidly, and at levels well beyond market rates of return. Within this context, the book seeks to explore the nature of the competitive advantage that these leagues apparently possess. The purpose is to identify not only how these leagues have been able to get to where they are today, but also to examine the competitive threats and opportunities that these leagues face as they move forward. A key contribution of the book is that it analyzes these issues from a multi-disciplinary approach including a traditional economics perspective, public policy and public choice theory and strategic management, to provide a parallel explanation for the success of each of the four major leagues. It argues that no single conceptual approach can, in itself, adequately explain the full richness of the issue. Its stresses that these various approaches should generally be viewed as complements, rather than as being mutually exclusive, and that a full understanding of the issue requires one to adopt a multi-disciplinary perspective, making it of interest to scholars in strategic management, sport management, and economics. It can serve as an effective teaching tool in both graduate and upper-level undergraduate courses for students in these fields, and is particularly useful for faculties seeking to emphasize to their students the importance of a multi-disciplinary, integrative, approach when analyzing business and management issues. The book may also be of interest to leaders within the sport industry itself, and will help to provide insight and perspective as leagues seek to enhance their competitive advantage in the marketplace.

The editors should be commended for taking on such a big task, and succeeding so well. This book should be in the library of every institution where students have to write a paper that may be related to sport, or on the shelf of any lecturer teaching economics or public finance who has even a remote interest in sport. The material is very accessible, and useful in many different settings. Ruud H. Koning, Jahrbücher f. Nationalökonomie u. Statistik Edward Elgar s brilliant market niche is identifying a topic in economics, finding editors who know the area backwards and challenging them to assemble the best cross-section of relevant articles either already published or newly commissioned. Handbook on the Economics of Sport is Edward Elgar at its very best. If you love economics you ll find many fascinating insights here; if you love sport but know little economics then this book is mostly accessible and will teach you a lot; and if you are a sports-mad economist then you will be in hog heaven. Furthermore, if, like this reviewer, you are broadly very sceptical about the reports consultants produce for governments on the supposed economic windfall from hosting a big event or subsidising a stadium then you will get a lot of good counter-arguments in this volume. Indeed there are several chapters on the above theme that I m sure I ll be copying frequently to government officials in years to come. . . The demand for sport is a fascinating subject and it is hard to pick out just one chapter from the second section. Read them all they make a wonderful 65-page treat. . . Part VI was a real feast, a smorgasbord. . . This is a magnificent piece of work and the 36-page index rounds it all off splendidly. John Blundell, Economic Affairs The book covers the most important areas of research of an emerging economic sub-discipline spanning the past half a century. It serves admirably the purpose of an introduction into the rich and growing area of reflection for all concerned. . . the editors and authors of the Handbook have done a commendable job of accumulating sophisticated material for many economists, managers, politicians and self-conscious fans, who are sure to find excellent training ground for the whole heptathlon. . . This book will be invaluable for advanced students investigating professional sport. From the point of view of lawyers, particularly those engaged with the relationship between law and sports governance, the Handbook offers invaluable analysis of the economic issues that are alluded to in those debates but rarely examined in detail. . . These insights will also prove useful for policy analysts and sports administrators for whom many sections should be considered mandatory reading. Aleksander Sulejewicz, Journal of Contemporary European Research Over 800 pages on the economics of sport. What a feast! What a treat! The editors have done a wonderful job both in terms of breadth from David Beckham to child labour in Pakistan and depth, tournaments and luxury taxes for example. . . The 86 chapters are uniformly of a very high standard and illuminating. And there are real gems in some of the contributions. British Journal on the Economics of Sport This very interesting and comprehensive book achieves its objective, namely to present an overview of research in sports economics at an introductory level. . . [The editors] have produced an excellent reference book that belongs in all academic institutions libraries. It provides extensive introduction to the growing body of literature in the rising field of economics of sport. The book s relevant monographs should be read by institutions, cities and countries prior to their committing major resources towards sports facilities or a sporting event. James Angresano, Journal of Sports Economics One could think of this book as the sports-and-economics counterpart to Joy of Cooking, because it will satisfy the needs of those with a keen interest in such subjects as the

The sports industry provides a seemingly endless set of examples from every area of microeconomics, giving students the opportunity to study economics in a context that holds their interest. Thoroughly updated to reflect the current sports landscape, The Economics of Sports introduces core economic concepts and theories and applies them to American and international sports. Updates for this sixth edition include: More coverage of international sports, including European football; A revised chapter on competitive balance, reflecting new techniques; A brand-new chapter on mega-events such as the Olympics and World Cup; New material on umpire bias; A completely redesigned chapter on amateur competition that focuses exclusively on intercollegiate sports. This chapter is also now modular, enabling instructors who wish to intersperse it with the other chapters to do so with greater ease. This accessible text is supported by a companion website which includes resources for students and instructors. It is the perfect text for advanced undergraduate and graduate courses on sports economics.