Competitive Balance Measures in Sports Leagues: The Effects of Variation in Season Length
AbstractAppropriate measurement of competitive balance is a cornerstone of the economic analysis of professional sports leagues. We examine the distributional properties of the ratio of standard deviations (RSD) of points percentages, the most widely used measure of competitive balance in the sports economics literature, in comparison with other standard-deviation-based measures. Simulation methods are used to evaluate the effects of changes in season length on the distributions of competitive balance measures for different distributions of the strengths of teams in a league. The popular RSD measure performs as expected only in cases of perfect balance; if there is imbalance in team strengths, its distribution is very sensitive to changes in season length. This has important implications for comparisons of competitive balance for different sports leagues with different numbers of teams and/or games played.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by University of Otago, Department of Economics in its series Working Papers with number 1309.
Length: 39 pages
Date of creation: Jul 2013
Date of revision: Jul 2013
Find related papers by JEL classification:
- L83 - Industrial Organization - - Industry Studies: Services - - - Sports; Gambling; Recreation; Tourism
- D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
- C63 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Computational Techniques
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Koning, Ruud H. & Koolhaas, Michael & Renes, Gusta, 2001.
"A simulation model for football championships,"
01A65, University of Groningen, Research Institute SOM (Systems, Organisations and Management).
- Rodney Fort & Young Hoon Lee, 2007. "Structural Change, Competitive Balance, And The Rest Of The Major Leagues," Economic Inquiry, Western Economic Association International, vol. 45(3), pages 519-532, 07.
- Martin B. Schmidt & David J. Berri, 2001. "Competitive Balance and Attendance: The Case of Major League Baseball," Journal of Sports Economics, , vol. 2(2), pages 145-167, May.
- P. Dorian Owen, 2012. "Measuring Parity in Sports Leagues With Draws," Journal of Sports Economics, , vol. 13(1), pages 85-95, February.
- Stefan Szymanski, 2003. "The Economic Design of Sporting Contests," Journal of Economic Literature, American Economic Association, vol. 41(4), pages 1137-1187, December.
- Jeffery Borland, 2003. "Demand for Sport," Oxford Review of Economic Policy, Oxford University Press, vol. 19(4), pages 478-502, Winter.
- Rodney Fort & James Quirk, 2010. "Optimal Competitive Balance in Single-Game Ticket Sports Leagues," Journal of Sports Economics, , vol. 11(6), pages 589-601, December.
- Trandel Gregory A & Maxcy Joel G, 2011. "Adjusting Winning-Percentage Standard Deviations and a Measure of Competitive Balance for Home Advantage," Journal of Quantitative Analysis in Sports, De Gruyter, vol. 7(1), pages 1-17, January.
- Martin B. Schmidt & David J. Berri, 2003. "On the Evolution of Competitive Balance: The Impact of an Increasing Global Search," Economic Inquiry, Western Economic Association International, vol. 41(4), pages 692-704, October.
- Scarf, Philip & Yusof, Muhammad Mat & Bilbao, Mark, 2009. "A numerical study of designs for sporting contests," European Journal of Operational Research, Elsevier, vol. 198(1), pages 190-198, October.
- Rodney Fort & James Quirk, 2011. "Optimal Competitive Balance In A Season Ticket League," Economic Inquiry, Western Economic Association International, vol. 49(2), pages 464-473, 04.
- Puterman Martin L & Wang Qingchen, 2011. "Optimal Dynamic Clustering Through Relegation and Promotion: How to Design a Competitive Sports League," Journal of Quantitative Analysis in Sports, De Gruyter, vol. 7(2), pages 1-34, May.
- Vasileios Manasis & Vassiliki Avgerinou & Ioannis Ntzoufras & J. James Reade, 2011. "Measurement of competitive balance in professional team sports using the Normalized Concentration Ratio," Economics Bulletin, AccessEcon, vol. 31(3), pages 2529-2540.
- P. Owen & Michael Ryan & Clayton Weatherston, 2007. "Measuring Competitive Balance in Professional Team Sports Using the Herfindahl-Hirschman Index," Review of Industrial Organization, Springer, vol. 31(4), pages 289-302, December.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Steffen Lippert).
If references are entirely missing, you can add them using this form.