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Competitive balance and gate revenue sharing in team sports

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Author Info
Késenne Stefan
Szymanski S.

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Abstract

This paper shows that under reasonable conditions that increasing gate revenue sharing among teams in a sports league will produce a more uneven contest, i.e. reduce competitive balance. This result has significant implications for antitrust authorities and legislators, who have tended to assume that revenue sharing arrangements will necessarily promote competitive balance.

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File URL: http://www.ua.ac.be/download.aspx?c=*TEWHI&n=14362&ct=009828&e=21292
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Publisher Info
Paper provided by University of Antwerp, Faculty of Applied Economics in its series Working Papers with number 2003003.

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Length: 14 pages
Date of creation: Mar 2003
Date of revision:
Handle: RePEc:ant:wpaper:2003003

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Postal: Prinsstraat 13, B-2000 Antwerpen
Web page: http://www.ua.ac.be/tew
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  1. Harrie A. A Verbon, 2007. "Migrating Football Players, Transfer Fees and Migration Controls," CESifo Working Paper Series CESifo Working Paper No. , CESifo GmbH. [Downloadable!]
  2. Sami Dakhlia & Paul Pecorino, 2005. "Rent-seeking with scarce talent: a model of preemptive hiring," Microeconomics 0505002, EconWPA. [Downloadable!]
    Other versions:
  3. Martin Grossmann & Helmut Dietl & Markus Lang, 2007. "Revenue Sharing and Competitive Balance in an Infinite Period Contest Model," Working Papers 0070, University of Zurich, Institute for Strategy and Business Economics (ISU). [Downloadable!]
    Other versions:
  4. Stefan Kesenne & Wilfried Pauwels, 2006. "Club Objectives and Ticket Pricing in Professional Team Sports," Eastern Economic Journal, Eastern Economic Association, vol. 32(3), pages 549-560, Summer. [Downloadable!]
    Other versions:
  5. Ferda HALICIOGLU, 2005. "Forecasting the Professional Team Sporting Events: Evidence from Euro 2000 and 2004 Football Tournaments," Industrial Organization 0508001, EconWPA. [Downloadable!]
  6. Stefan Szymanski, 2006. "Tilting the Playing Field: Why a sports league planner would choose less, not more, competitive balance," Working Papers 0620, International Association of Sports Economists. [Downloadable!]
  7. Katsushi Imai & Raghav Gaiha & Ganesh Thapa, 2008. "Food and oil prices," The School of Economics Discussion Paper Series 0801, Economics, The University of Manchester. [Downloadable!]
  8. Stefan Kesenne & Wilfried Pauwels, 2006. "Club Objectives and Ticket Pricing in Professional Team Sports," Eastern Economic Journal, Palgrave Macmillan Journals, vol. 32(3), pages 549-560, Summer. [Downloadable!] (restricted)
  9. Stefan Szymanski & Stephanie Leach, 2006. "Tilting the Playing Field (Why a sports league planner would choose less, not more, competitive balance): The case of English Football," Working Papers 0619, International Association of Sports Economists. [Downloadable!]
  10. Stefan Szymanski, 2006. "Teaching competition in professional sports leagues," Working Papers 0602, International Association of Sports Economists. [Downloadable!]
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  11. Paul Madden, 2008. "Price, quality and welfare consequences of alternative club objectives in a professional sport league," The School of Economics Discussion Paper Series 0802, Economics, The University of Manchester. [Downloadable!]
  12. Matthias Kräkel, 2005. "Doping in Contest-Like Situations," Bonn Econ Discussion Papers bgse14_2005, University of Bonn, Germany. [Downloadable!]
    Other versions:
    • Matthias Kräkel, 2005. "Doping in Contest-Like Situations," Discussion Papers 46, SFB/TR 15 Governance and the Efficiency of Economic Systems, Free University of Berlin, Humboldt University of Berlin, University of Bonn, University of Mannheim, University of Munich. [Downloadable!]
  13. Stefan Szymanski, 2006. "The Champions League and the Coase Theorem," Working Papers 0617, International Association of Sports Economists. [Downloadable!]
    Other versions:
  14. Pedro Garcia-del-Barrio & Stefan Szymanski, 2006. "Goal! Profit maximization and win maximization in football leagues," Working Papers 0621, International Association of Sports Economists. [Downloadable!]
  15. William Chan & Pascal Courty & Hao Li, 2006. "Suspense," Working Papers tecipa-223, University of Toronto, Department of Economics. [Downloadable!]
    Other versions:
  16. Rob Simmons & Babatunde Buraimo, 2007. "A tale of two audiences: spectators, television viewers and outcome uncertainty in Spanish football," Working Papers 005289, Lancaster University Management School, Economics Department. [Downloadable!]
  17. Martin Grossmann & Helmut Dietl, 2007. "Investment Behaviour in a Two Period Contest Model," Working Papers 0069, University of Zurich, Institute for Strategy and Business Economics (ISU). [Downloadable!]
  18. Matthias Kräkel, 2006. "Doping and Cheating in Contest-Like Situations," IZA Discussion Papers 2059, Institute for the Study of Labor (IZA). [Downloadable!]
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