IDEAS home Printed from https://ideas.repec.org/a/taf/apeclt/v2y1995i10p383-387.html
   My bibliography  Save this article

An empirical note on the impact of college athletics on tuition revenues

Author

Listed:
  • Franklin Mixon
  • Rand Ressler

Abstract

The economics and sociology literature has given much attention to the proper role of athletics in the mission of institutions of higher education. This discussion has turned into a debate; one argument holds that athletics fit nicely into the mission of most colleges. However, it has also been argued that athletics impede the students and faculty from achieving their academic potential. We argue that college athletics can increase the demand to attend the institution and lower the price elasticity of demand of non-resident students. This, in turn, increases the level of financial resources available to the institution. We model the percentage of out-of-state students as being dependent upon athletic success (among other variables) and find a positive and significant relationship between the two. In addition, potential net revenue gains from athletic success are provided for specific institutions.

Suggested Citation

  • Franklin Mixon & Rand Ressler, 1995. "An empirical note on the impact of college athletics on tuition revenues," Applied Economics Letters, Taylor & Francis Journals, vol. 2(10), pages 383-387.
    • Handle: RePEc:taf:apeclt:v:2:y:1995:i:10:p:383-387
    DOI: 10.1080/758518995
    as

    Download full text from publisher

    File URL: http://www.informaworld.com/openurl?genre=article&doi=10.1080/758518995&magic=repec&7C&7C8674ECAB8BB840C6AD35DC6213A474B5
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1080/758518995?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Bremmer, Dale S. & Kesselring, Randall G., 1993. "The advertising effect of university athletic success: A reappraisal of the evidence," The Quarterly Review of Economics and Finance, Elsevier, vol. 33(4), pages 409-421.
    2. McCormick, Robert E & Tensley, Maurice, 1987. "Athletics versus Academics? Evidence from SAT Scores," Journal of Political Economy, University of Chicago Press, vol. 95(5), pages 1103-1116, October.
    3. Clotfelter, Charles T. & Ehrenberg, Ronald G. & Getz, Malcolm & Siegfried, John J., 1992. "Economic Challenges in Higher Education," National Bureau of Economic Research Books, University of Chicago Press, edition 1, number 9780226110509, December.
    4. Kroncke, Charles Jr & Ressler, Rand W., 1993. "The Alchian-Allen effect in higher education: Public versus private enrollment," Economics of Education Review, Elsevier, vol. 12(4), pages 345-349, December.
    5. Charles T. Clotfelter & Ronald G. Ehrenberg & Malcolm Getz & John J. Siegfried, 1991. "Introduction to "Economic Challenges in Higher Education"," NBER Chapters, in: Economic Challenges in Higher Education, pages 1-16, National Bureau of Economic Research, Inc.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Benjamin Baumer & Andrew Zimbalist, 2019. "The Impact of College Athletic Success on Donations and Applicant Quality," IJFS, MDPI, vol. 7(2), pages 1-23, April.
    2. D. Randall Smith, 2008. "Big-Time College Basketball and the Advertising Effect," Journal of Sports Economics, , vol. 9(4), pages 387-406, August.
    3. Richard Adkisson & James Peach, 2008. "Non-resident enrollment and non-resident tuition at land grant colleges and universities," Education Economics, Taylor & Francis Journals, vol. 16(1), pages 75-88.
    4. Trevor Collier & Nancy Haskell & Kurt W. Rotthoff & Alaina Baker, 2020. "The “Cinderella Effect†: The Value of Unexpected March Madness Runs as Advertising for the Schools," Journal of Sports Economics, , vol. 21(8), pages 783-807, December.
    5. Devin G. Pope & Jaren C. Pope, 2009. "The Impact of College Sports Success on the Quantity and Quality of Student Applications," Southern Economic Journal, John Wiley & Sons, vol. 75(3), pages 750-780, January.
    6. Candon Johnson & Bryan C. McCannon, 2022. "Athletics and Admissions: The Impact of the Penn State Football Scandal on Student Quality," Journal of Sports Economics, , vol. 23(2), pages 200-221, February.
    7. Bernard F. Lentz & David N. Laband, 2008. "The Impact of College Athletics on Employment in the Restaurant and Accommodations Industries," Working Papers 0803, International Association of Sports Economists;North American Association of Sports Economists.
    8. D. Randall Smith, 2019. "The Lure of Academic and Social Reputations Versus Athletic Success: Influences on Enrollment Yield at NCAA Division I Institutions," Research in Higher Education, Springer;Association for Institutional Research, vol. 60(6), pages 870-904, September.
    9. Douglas Dotterweich & Edward Baryla, 2005. "Non-resident Tuition and Enrollment in Higher Education: Implications for Tuition Pricing," Education Economics, Taylor & Francis Journals, vol. 13(4), pages 375-385.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Robert E. Martin, 2011. "The College Cost Disease," Books, Edward Elgar Publishing, number 14179.
    2. Robert E. Martin & R. Carter Hill & Melissa S. Waters, 2017. "Baumol and Bowen Cost Effects in Research Universities," Departmental Working Papers 2017-03, Department of Economics, Louisiana State University.
    3. JERE BEHRMAN & LORI KLETZER & MICHAEL McPHERSON & MORTON OWEN SCHAPIRO, 1998. "Microeconomics of College Choice, Careers, and Wages," The ANNALS of the American Academy of Political and Social Science, , vol. 559(1), pages 12-23, September.
    4. Clotfelter, C. T., 2003. "Alumni giving to elite private colleges and universities," Economics of Education Review, Elsevier, vol. 22(2), pages 109-120, April.
    5. Candon Johnson & Bryan C. McCannon, 2022. "Athletics and Admissions: The Impact of the Penn State Football Scandal on Student Quality," Journal of Sports Economics, , vol. 23(2), pages 200-221, February.
    6. Eiji Yamamura, 2015. "Is university sports an advertisement in the higher education market? An analysis of the Hakone long-distance relay road race in Japan," ISER Discussion Paper 0922, Institute of Social and Economic Research, Osaka University.
    7. Mulholland, Sean E. & Tomic, Aleksandar (Sasha) & Sholander, Samuel N., 2014. "The faculty Flutie factor: Does football performance affect a university's US News and World Report peer assessment score?," Economics of Education Review, Elsevier, vol. 43(C), pages 79-90.
    8. Frank A. Scott & Jeffrey D. Anstine, 1997. "Market Structure in the Production of Economics Ph.D.'s," Southern Economic Journal, John Wiley & Sons, vol. 64(1), pages 307-320, July.
    9. Charles T. Clotfelter & Michael Rothschild, 1993. "Introduction to "Studies of Supply and Demand in Higher Education"," NBER Chapters, in: Studies of Supply and Demand in Higher Education, pages 1-10, National Bureau of Economic Research, Inc.
    10. Ronald G. Ehrenberg & Panagiotis G. Mavros, 1995. "Do Doctoral Students' Financial Support Patterns Affect Their Times-To-Degree and Completion Probabilities?," Journal of Human Resources, University of Wisconsin Press, vol. 30(3), pages 581-609.
    11. Woo, Cheonsik, 2002. "Upgrading Higher Education in Korea: Context and Policy Responses," KDI Policy Studies 2002-02, Korea Development Institute (KDI).
    12. D. Randall Smith, 2009. "College Football and Student Quality: An Advertising Effect or Culture and Tradition?," American Journal of Economics and Sociology, Wiley Blackwell, vol. 68(2), pages 553-579, April.
    13. Getz, Malcolm & Siegfried, John J. & Anderson, Kathryn H., 1997. "Adoption of innovations in higher education," The Quarterly Review of Economics and Finance, Elsevier, vol. 37(3), pages 605-631.
    14. Egon Franck & Christian Opitz, 2001. "Zur Funktion von Studiengebühren angesichts von Informationsasymmetrien auf Humankapitalmärkten," Schmalenbach Journal of Business Research, Springer, vol. 53(2), pages 91-106, March.
    15. Elizabeth Becker & Cotton M. Lindsay & Gary Grizzle, 2003. "The derived demand for faculty research," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 24(8), pages 549-567.
    16. Rand Ressler, 2000. "Is offering a degree in law an effective strategy for increasing state educational appropriations?," Applied Economics Letters, Taylor & Francis Journals, vol. 7(11), pages 749-753.
    17. Ina Ganguli, 2017. "Saving Soviet Science: The Impact of Grants When Government R&D Funding Disappears," American Economic Journal: Applied Economics, American Economic Association, vol. 9(2), pages 165-201, April.
    18. Devin G. Pope & Jaren C. Pope, 2014. "Understanding College Application Decisions," Journal of Sports Economics, , vol. 15(2), pages 107-131, April.
    19. Malcolm Getz & John J. Siegfried, 2004. "The Sensitivity of Capital Use to Price in Higher Education," Review of Industrial Organization, Springer;The Industrial Organization Society, vol. 24(4), pages 379-391, June.
    20. Devin G. Pope & Jaren C. Pope, 2009. "The Impact of College Sports Success on the Quantity and Quality of Student Applications," Southern Economic Journal, John Wiley & Sons, vol. 75(3), pages 750-780, January.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:apeclt:v:2:y:1995:i:10:p:383-387. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/RAEL20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.