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Widespread Corruption in Sports Gambling: Fact Or Fiction

Author

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  • Richard Borghesi

    () (Texas State University, McCoy College of Business Administration, Department of Finance and Economics)

Abstract

We examine whether point-shaving is widespread in National Collegiate Athletic Association basketball by comparing bet and game outcomes with those in professional sports. Results suggest that unusual patterns previously suspected to be indicators of point-shaving are ubiquitous throughout sports and unlikely to be caused by corruption. We suggest that line shading by sports books may explain the anomalies in game and bet outcome distributions.

Suggested Citation

  • Richard Borghesi, 2008. "Widespread Corruption in Sports Gambling: Fact Or Fiction," Southern Economic Journal, Southern Economic Association, vol. 74(4), pages 1063-1069, April.
  • Handle: RePEc:sej:ancoec:v:74:4:y:2008:p:1063-1069
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    Citations

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    Cited by:

    1. Darren Grant & William Green, 2013. "Grades as incentives," Empirical Economics, Springer, vol. 44(3), pages 1563-1592, June.
    2. repec:gam:jgames:v:8:y:2017:i:3:p:27-:d:103200 is not listed on IDEAS
    3. Christian Deutscher & Eugen Dimant & Brad R. Humphreys, 2017. "Match Fixing and Sports Betting in Football: Empirical Evidence from the German Bundesliga," Working Papers 17-01, Department of Economics, West Virginia University.
    4. Grant, Darren, 2016. "The essential economics of threshold-based incentives: Theory, estimation, and evidence from the Western States 100," Journal of Economic Behavior & Organization, Elsevier, vol. 130(C), pages 180-197.
    5. Borghesi, Richard & Dare, William, 2009. "A test of the widespread-point-shaving theory," Finance Research Letters, Elsevier, vol. 6(3), pages 115-121, September.
    6. Darren Grant & William B. Green, 2009. "The Simple Economics of Thresholds: Grades as Incentives," Working Papers 0901, Sam Houston State University, Department of Economics and International Business.
    7. Sutherland, Ewan, 2014. "Internet governance: Gambling on the periphery," 25th European Regional ITS Conference, Brussels 2014 101420, International Telecommunications Society (ITS).
    8. Wladimir Andreff, 2016. "4 Corruption in Sport," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) halshs-01279785, HAL.

    More about this item

    JEL classification:

    • G14 - Financial Economics - - General Financial Markets - - - Information and Market Efficiency; Event Studies; Insider Trading

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