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TV Networks for College Sports: Implications for Institutional Subsidies

Author

Listed:
  • Jennifer A. Delaney

    (University of Illinois at Urbana-Champaign)

  • Tyler D. Kearney

    (Louisiana State University)

Abstract

University athletics because of its reporting structure, regulation by the NCAA, and relationship to the academic enterprise of institutions, provides a unique look into postsecondary institutional behavior. Using a difference-in-difference design, this study tests the introduction of new television networks dedicated to college sports on institutional subsidy levels for athletics. Overall, our findings show that institutions are responsive to the introduction of new college-sports-dedicated television networks. When considering institutions in the Power Five athletic conferences, we find an average decline in subsidy levels of approximately $1.2 million. When considering different types of subsidies, we find significant declines in direct subsidies and student fees, but no significant change for indirect subsidies.

Suggested Citation

  • Jennifer A. Delaney & Tyler D. Kearney, 2022. "TV Networks for College Sports: Implications for Institutional Subsidies," Research in Higher Education, Springer;Association for Institutional Research, vol. 63(7), pages 1158-1203, November.
    • Handle: RePEc:spr:reihed:v:63:y:2022:i:7:d:10.1007_s11162-022-09684-w
    DOI: 10.1007/s11162-022-09684-w
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    More about this item

    Keywords

    Difference-in-difference; Athletic subsidies; College sports television networks;
    All these keywords.

    JEL classification:

    • I23 - Health, Education, and Welfare - - Education - - - Higher Education; Research Institutions

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