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Racial Integration as an Innovation: Empirical Evidence from Sports Leagues

Author

Listed:
  • Brian L. Goff
  • Robert E. McCormick
  • Robert D. Tollison

Abstract

This paper treats racial integration as an innovation in economic process in which economic entities find it advantageous to utilize potentially more productive inputs previously unavailable due to law, custom, or managerial discretion. Data on the racial integration of Major League Baseball and Atlantic Coast Conference basketball are employed to address this issue. The central question examined is which type of team integrated first—losers or winners? The results strongly support the idea that entrepreneurship trumps competitive rivalry; that is, winning teams led the process of racial integration.

Suggested Citation

  • Brian L. Goff & Robert E. McCormick & Robert D. Tollison, 2002. "Racial Integration as an Innovation: Empirical Evidence from Sports Leagues," American Economic Review, American Economic Association, vol. 92(1), pages 16-26, March.
  • Handle: RePEc:aea:aecrev:v:92:y:2002:i:1:p:16-26
    Note: DOI: 10.1257/000282802760015586
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    References listed on IDEAS

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    1. Altonji, Joseph G. & Blank, Rebecca M., 1999. "Race and gender in the labor market," Handbook of Labor Economics,in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 48, pages 3143-3259 Elsevier.
    2. Clement, Robert C & McCormick, Robert E, 1989. "Coaching Team Production," Economic Inquiry, Western Economic Association International, vol. 27(2), pages 287-304, April.
    3. Wright, Gavin, 1999. "The Civil Rights Revolution as Economic History," The Journal of Economic History, Cambridge University Press, vol. 59(02), pages 267-289, June.
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    Cited by:

    1. Bodvarsson, Örn B. & Humphreys, Brad R., 2009. "Labor Market Discrimination and Capital Investment: The Effects of Fan Discrimination on Stadium Investment," IZA Discussion Papers 4551, Institute for the Study of Labor (IZA).
    2. Christopher Coyne & Justin Isaacs & Jeremy Schwartz, 2010. "Entrepreneurship and the taste for discrimination," Journal of Evolutionary Economics, Springer, vol. 20(4), pages 609-627, August.
    3. Feng Li & Venky Nagar, 2013. "Diversity and Performance," Management Science, INFORMS, vol. 59(3), pages 529-544, September.
    4. Akihiko Kawaura & Sumner Croix, 2016. "Integration Of North And South American Players In Japan'S Professional Baseball Leagues," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 57, pages 1107-1130, August.
    5. Martin Schmidt, 2009. "The nonlinear behavior of competition: the impact of talent compression on competition," Journal of Population Economics, Springer;European Society for Population Economics, vol. 22(1), pages 57-74, January.
    6. Bryson, Alex & Chevalier, Arnaud, 2015. "Is there a taste for racial discrimination amongst employers?," Labour Economics, Elsevier, vol. 34(C), pages 51-63.
    7. Kimberly Ellis & Phyllis Keys, 2015. "Workforce diversity and shareholder value: a multi-level perspective," Review of Quantitative Finance and Accounting, Springer, vol. 44(2), pages 191-212, February.
    8. Christopher Coyne & Justin Isaacs & Jeremy Schwartz & Anthony Carilli, 2007. "Put me in, Coach, I’m ready to play," The Review of Austrian Economics, Springer;Society for the Development of Austrian Economics, vol. 20(4), pages 237-246, December.
    9. Sebastian Bervoets & Bruno Decreuse & Mathieu Faure, 2014. "A Renewed Analysis of Cheating in Contests: Theory and Evidence from Recovery Doping," AMSE Working Papers 1441, Aix-Marseille School of Economics, Marseille, France, revised Jun 2015.
    10. Klaassen, F.J.G.M. & Magnus, J.R., 2006. "Are Economic Agents Successful Optimizers? An Analysis Through Strategy in Tennis," Discussion Paper 2006-52, Tilburg University, Center for Economic Research.
    11. Aju Fenn & Peter Allmen & Stacey Brook & Thomas Preissing, 2005. "The Influence of Structural Changes and International Players on Competitive Balance in the NHL," Atlantic Economic Journal, Springer;International Atlantic Economic Society, vol. 33(2), pages 215-224, June.
    12. Rex J. Pjesky & Daniel Sutter, 2011. "Does the Lack of a Profit Motive Affect Hiring in Academe? Evidence from the Market for Lawyers," American Journal of Economics and Sociology, Wiley Blackwell, vol. 70(4), pages 1053-1084, October.
    13. Akihiko Kawaura & Sumner La Croix, 2011. "Integration of North and South American Players in Japan's Professional Baseball Leagues Teams in Japan’s two professional baseball leagues began to add foreign players to their rosters in the early 1," Working Papers 2011-14, University of Hawaii Economic Research Organization, University of Hawaii at Manoa.
    14. Hinrichs, Peter, 2014. "An Empirical Analysis of Racial Segregation in Higher Education," Working Paper 1435, Federal Reserve Bank of Cleveland.
    15. Edward López, 2010. "Who will deregulate the deregulators?," Public Choice, Springer, vol. 142(3), pages 379-384, March.
    16. Avery, Derek R. & McKay, Patrick F. & Volpone, Sabrina D. & Malka, Ari, 2015. "Are companies beholden to bias? The impact of leader race on consumer purchasing behavior," Organizational Behavior and Human Decision Processes, Elsevier, vol. 127(C), pages 85-102.
    17. Meletakos, Panagiotis & Chatzicharistos, Dimitrios & Apostolidis, Nikolaos & Manasis, Vasilios & Bayios, Ioannis, 2016. "Foreign players and competitive balance in Greek basketball and handball championships," Sport Management Review, Elsevier, vol. 19(4), pages 391-401.
    18. Klaassen, Franc J.G.M. & Magnus, Jan R., 2009. "The efficiency of top agents: An analysis through service strategy in tennis," Journal of Econometrics, Elsevier, vol. 148(1), pages 72-85, January.
    19. D Berri & R Simmons, 2007. "Race and the evaluation of signal callers in the national football league," Working Papers 591147, Lancaster University Management School, Economics Department.

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