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The Market for Soccer Players in England after Bosman: Winners and Losers

In: Football Economics and Policy

Author

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  • Stefan Szymanski

    (Imperial College Management School)

Abstract

The Bosman judgement has changed the types of employment contracts which football clubs can write with players. This chapter analyses the effect of this on the equilibrium of the English football leagues. The English leagues are characterised by open entry and consequently intense competition in an economic as well as a sporting sense. While technology is expanding the size of the entire football market, the market for players is approximately efficient so that most of the football “rents” go to the players. If clubs already wrote contracts which were economically efficient, then Bosman would not affect the football league equilibrium. However, if some clubs are unable to write efficient contracts because of capital market constraints, then these clubs may be driven out of the market. The judgement is also likely to redistribute the rents among the players. The chapter discusses the financial impact so far using accounting data.

Suggested Citation

  • Stefan Szymanski, 2010. "The Market for Soccer Players in England after Bosman: Winners and Losers," Palgrave Macmillan Books, in: Football Economics and Policy, chapter 2, pages 27-51, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-0-230-27426-6_2
    DOI: 10.1057/9780230274266_2
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    Cited by:

    1. Raffaele Trequattrini & Alessandra Lardo & Benedetta Cuozzo & Alberto Manzari & Pavlo Brin, 2021. "The strength of weak rings: Teams performance measurement and management in sport," MANAGEMENT CONTROL, FrancoAngeli Editore, vol. 2021(3), pages 135-151.

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