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NFL Governance and the Fate of the New Orleans Saints: Some Observations

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Author Info

  • Robert Baade

    () (Department of Economics and Business, Lake Forest College)

  • Victor Matheson

    () (Department of Economics, College of the Holy Cross)

Abstract

Prior to 2005, New Orleans had struggled to retain its NFL franchise. The Saints remained in the city, despite an outdated stadium and small media market, only through generous direct public subsidies to the team. Paradoxically, the devastation wrought by Hurricane Katrina in September 2005 actually improved the short-term viability of the franchise by spurring an outpouring of local support for the team and by making relocation of the Saints politically untenable for the league. The long-term outlook for the team, however, appears grim. Already a small market, New Orleans’ population and business community has declined considerably due to Katrina. The NFL’s G-3 loan program for stadium construction is tapped out. Finally, the financial success of other NFL franchises has both raised the cost of fielding a competitive team and increased the value of the Saints as a target of relocation.

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File URL: http://college.holycross.edu/RePEc/hcx/Baade-Matheson_NFLSaints.pdf
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Bibliographic Info

Paper provided by College of the Holy Cross, Department of Economics in its series Working Papers with number 0703.

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Length: 37 pages
Date of creation: Apr 2007
Date of revision:
Publication status: Published in Governance and Competition in Professional Sports Leagues, Plácido Rodríguez Guerrero, Stefan Késenne, and Jaume García, eds. (Gijon, Spain: Universidad de Oviedo, 2007), pp. 141-168.
Handle: RePEc:hcx:wpaper:0703

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Keywords: sports; NFL Governance; New Orleans; Hurricane Katrina; football;

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  1. Victor Matheson & Robert Baade, 2004. "Padding Required: Assessing the Economic Impact of the Super Bowl," Working Papers 0403, College of the Holy Cross, Department of Economics.
  2. Robert A. Baade & Robert Baumann & Victor A. Matheson, 2008. "Selling the Game: Estimating the Economic Impact of Professional Sports through Taxable Sales," Southern Economic Journal, Southern Economic Association, vol. 74(3), pages 794-810, January.
  3. Dennis Coates & Brad R. Humphreys, 1999. "The growth effects of sport franchises, stadia, and arenas," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 18(4), pages 601-624.
  4. Dennis Coates & Craig A. Depken, II, 2006. "Mega-Events: Is the Texas-Baylor game to Waco what the Super Bowl is to Houston?," Working Papers 0606, International Association of Sports Economists & North American Association of Sports Economists.
  5. repec:sae:jospec:v:3:y:2002:i:3:p:291-299 is not listed on IDEAS
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