AbstractRivalries are a key aspect of sports, but one with few counterparts elsewhere in economic theory. In this paper rivalries are modeled as a habitual good, and complementary in fan utility with other trade between residents of team locations. Some implications for optimal team investment in rivalry capital, for league investment in competitive balance, and for the fundamental differences between rivalries in team and individual sports are derived.
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Bibliographic InfoPaper provided by International Association of Sports Economists & North American Association of Sports Economists in its series Working Papers with number 0808.
Length: 25 pages
Date of creation: Aug 2008
Date of revision:
Rivalry; rivalries; team sports;
Find related papers by JEL classification:
- L83 - Industrial Organization - - Industry Studies: Services - - - Sports; Gambling; Recreation; Tourism
- L22 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Organization and Market Structure
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