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The effects of race on professional football players' compensation

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  • Lawrence M. Kahn

Abstract

Using data on 1,363 NFL players from the 1989 season, the author examines the issue of racial discrimination in professional football. He finds that the difference between white and black players' earnings, with controls for performance and other variables, is small (at most, 4%, favoring whites) and, in most equations, not significantly different from zero. Another finding, however, is that the salaries of white and nonwhite players vary positively with the percentages of whites and nonwhites, respectively, in the metropolitan area in which the team is based-suggesting that some football fans prefer to watch players of their own race, and team owners are willing to pay more to players who, because of their race, will attract a larger audience and bring in greater revenue. (Abstract courtesy JSTOR.)

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Bibliographic Info

Article provided by ILR Review, Cornell University, ILR School in its journal ILR Review.

Volume (Year): 45 (1992)
Issue (Month): 2 (January)
Pages: 295-310

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Handle: RePEc:ilr:articl:v:45:y:1992:i:2:p:295-310

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Cited by:
  1. Cade Massey & Richard Thaler, 2005. "Overconfidence vs. Market Efficiency in the National Football League," NBER Working Papers 11270, National Bureau of Economic Research, Inc.
  2. D Berri & R Simmons, 2007. "Race and the evaluation of signal callers in the national football league," Working Papers 591147, Lancaster University Management School, Economics Department.
  3. Michael Leeds, 2003. "Race, incentives, and opportunities: The importance of timing," The Review of Black Political Economy, Springer, Springer, vol. 30(3), pages 55-69, December.
  4. David Branham, 2008. "Taking Advantage of an Untapped Pool: Assessing the Success of African American Head Coaches in the National Football League," The Review of Black Political Economy, Springer, Springer, vol. 35(4), pages 129-146, December.
  5. Pelnar, Gregory, 2007. "Antitrust Analysis of Sports Leagues," MPRA Paper 5382, University Library of Munich, Germany.
  6. Ohn, Jonathan K. & Bealing, William & Waeger, Dan, 2012. "The Determinants of Annual Earnings for PGA Players Under the New PGA’s FedEx Cup System," Review of Applied Economics, Review of Applied Economics, Review of Applied Economics, vol. 8(1).
  7. Lawrence M. Kahn, 2000. "The Sports Business as a Labor Market Laboratory," Journal of Economic Perspectives, American Economic Association, American Economic Association, vol. 14(3), pages 75-94, Summer.
  8. Rob Simmons & David Berri, 2009. "Gains from Specialization and Free Agency: The Story from the Gridiron," Review of Industrial Organization, Springer, Springer, vol. 34(1), pages 81-98, February.
  9. Javier Núnez & Roberto Gutiérrez, 2004. "Class discrimination and meritocracy in the labor market: evidence from Chile," Estudios de Economia, University of Chile, Department of Economics, University of Chile, Department of Economics, vol. 31(2 Year 20), pages 113-132, December.
  10. Roberto Gutierrez & Javier Nunez, 2004. "Classism, Discrimination And Meritocrascy In The Labor Market: The Case Of Chile," Econometric Society 2004 Latin American Meetings, Econometric Society 308, Econometric Society.

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