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Equal Revenue Sharing and the Optimal Distribution of Talent in the N-Team Leagues

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  • Masaki Fujimoto

Abstract

This article shows that if a certain symmetric property of contests is assumed, then the ratio of equilibrium talent levels under equal revenue sharing maximizes the total league revenue and profits in the n -team model. This result holds irrespective of the types of conjectural variations, “Walrasian†or “Nash.â€

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  • Masaki Fujimoto, 2020. "Equal Revenue Sharing and the Optimal Distribution of Talent in the N-Team Leagues," Journal of Sports Economics, , vol. 21(2), pages 103-114, February.
    • Handle: RePEc:sae:jospec:v:21:y:2020:i:2:p:103-114
    DOI: 10.1177/1527002519867368
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    References listed on IDEAS

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    Cited by:

    1. Miceli, Thomas J., 2024. "Patent races and pennant races: A new rationale for revenue sharing in sports leagues," Economics Letters, Elsevier, vol. 234(C).
    2. Masaki Fujimoto, 2023. "A Dynamic Analysis of Equal Revenue Sharing and Endogenous Salary Caps in the N-Team Leagues," Journal of Sports Economics, , vol. 24(5), pages 624-638, June.

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