Hausman and Leonard offered evidence that Michael Jordan generated US$53 million in broadcast revenue for teams other than his employer, the Chicago Bulls. In essence, these authors argued for the existence of a superstar externality. The purpose of this article is to extend the work of Hausman and Leonard via an examination of road attendance in this sport. The evidence we report suggests that a superstar externality also exists on the road in the National Basketball Association. Policy suggestions to remedy this issue are offered in the text.
Abstract:Until recently, the position of quarterback in the National Football League (NFL) was not an option for black athletes. Today many teams employ black quarterbacks, a development that might suggest race is no longer relevant when it comes to the evaluation of signal callers in the NFL. To examine this contention, this paper explores the relationship between player salary, performance, and race at the quarterback position over the period 1995 to 2006. We find that blacks and whites play this position differently. Specifically, black quarterbacks are more likely to run with the football. This skill, though, is not compensated in the market. Consequently, there is evidence that blacks face an uncompensated entry barrier in this particular occupation.The story of Jackie Robinson illustrates that discrimination was once an issue in professional sports. Is it still a problem today? Although numerous studies have been offered examining discrimination in professional team sports like baseball and basketball, there is little a priori evidence that discrimination remains a problem in these sports. Consequently, it is not surprising that much of the recent research on the topic offers very mixed results with respect to the subject of discrimination. Depending upon the issue examined and the methodology employed, studies have found evidence of discrimination against blacks 1 , discrimination against whites 2 , or no discrimination at all. 3
Taylor and Trogdon found evidence of shirking under some, but not all, draft lottery systems used in three different National Basketball Association (NBA) seasons. The authors use data from all NBA games played from 1977 to 2007 and a fixed effects model to control for unobservable team and season heterogeneity to extend this research. The authors find that NBA teams were more likely to intentionally lose games at the end of the regular season during the seasons where the incentives to finish last were the largest.
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