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Location and attendance in major league baseball

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Author Info

  • Jason Winfree
  • Jill McCluskey
  • Ron Mittelhammer
  • Rodney Fort

Abstract

This study uses a travel-cost model to analyse the attendance impacts on Major League Baseball (MLB) of the closest substitute MLB team. It is found that the closer two teams are, the lower attendance is at each team relative to two teams that are farther apart. In addition, when a new team moves into the area of an existing team, there is an additional initial reduction in attendance for the incumbent team. This has implications for actions aimed at changing the number of teams in MLB either by contraction or by possible antitrust approaches that would increase the number of teams, especially in megalopolis markets. Further, and consistent with past demand studies, pricing is in the inelastic portion of gate demand and fan loyalty is a significant contributor to the estimation of gate attendance.

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File URL: http://www.tandfonline.com/doi/abs/10.1080/0003684042000287664
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Bibliographic Info

Article provided by Taylor & Francis Journals in its journal Applied Economics.

Volume (Year): 36 (2004)
Issue (Month): 19 ()
Pages: 2117-2124

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Handle: RePEc:taf:applec:v:36:y:2004:i:19:p:2117-2124

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References

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  1. Leo Kahane & Stephen Shmanske, 1997. "Team roster turnover and attendance in major league baseball," Applied Economics, Taylor & Francis Journals, vol. 29(4), pages 425-431.
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Citations

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Cited by:
  1. Lera-López, Fernando & Suárez, María José, 2012. "Deporte activo y pasivo: ¿Una relación de conveniencia?/Active and Passive Sport: Is it a Marriage of Convenience?," Estudios de Economía Aplicada, Estudios de Economía Aplicada, vol. 30, pages 489-512, Agosto.
  2. Kevin Mongeon & Jason Winfree, 2013. "The Effects of Cross-Ownership and League Policies Across Sports Leagues Within a City," Review of Industrial Organization, Springer, vol. 43(3), pages 145-162, November.
  3. Agha, Nola & Rascher, Daniel, 2013. "When can economic impact be positive? Nine conditions that explain why smaller sports can have bigger impacts," MPRA Paper 48016, University Library of Munich, Germany.
  4. Pelnar, Gregory, 2009. "Competition and Cooperation between Professional Sports Franchises: The Impact on Ticket Prices," MPRA Paper 17787, University Library of Munich, Germany.
  5. Rockerbie, Duane, 2011. "The Invariance Proposition in Baseball: New Evidence," MPRA Paper 55020, University Library of Munich, Germany.
  6. Daniel, Rascher & Matt, Brown & Mark, Nagel & Chad, McEvoy, 2009. "Where did National Hockey League Fans go During the 2004-2005 Lockout?: An Analysis of Economic Competition Between Leagues," MPRA Paper 25804, University Library of Munich, Germany.
  7. Mongeon, Kevin & Winfree, Jason, 2012. "Cross-ownership, league policies and player investment across sports leagues," MPRA Paper 39218, University Library of Munich, Germany.
  8. Yamamura, Eiji & Shin, Inyong, 2008. "The influence of a leader and social interaction on attendance: The case of the Japanese professional baseball league, 1952-2003," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 37(4), pages 1412-1426, August.
  9. Zulal Denaux & David Denaux & Yeliz Yalcin, 2011. "Factors Affecting Attendance of Major League Baseball: Revisited," Atlantic Economic Journal, International Atlantic Economic Society, vol. 39(2), pages 117-127, June.
  10. Mark Foley & Fred Smith, 2013. "The Rise (and Fall) of the Arena Football League," Atlantic Economic Journal, International Atlantic Economic Society, vol. 41(4), pages 439-450, December.

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