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Wage disparity and team performance in the process of industry development: Evidence from Japan’s professional football league

  • Yamamura, Eiji

The changing effects of wage disparity on team performance during the process of industry development are examined using data sourced from the Japanese professional football league. The results show that wage disparity leads to a reduction in team performance during the developing stage but does not influence performance during the developed stage. Unobserved fixed team effects and endogeneity bias were controlled in the study.

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File URL: http://mpra.ub.uni-muenchen.de/27363/1/MPRA_paper_27363.pdf
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Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 27363.

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Date of creation: 07 Dec 2010
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Handle: RePEc:pra:mprapa:27363
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  1. Ramaswamy, Ramana & Rowthorn, Robert E, 1991. "Efficiency Wages and Wage Dispersion," Economica, London School of Economics and Political Science, vol. 58(232), pages 501-14, November.
  2. Rosen, Sherwin, 1986. "Prizes and Incentives in Elimination Tournaments," American Economic Review, American Economic Association, vol. 76(4), pages 701-15, September.
  3. Eiji Yamamura, 2009. "Technology transfer and convergence of performance: an economic study of FIFA football ranking," Applied Economics Letters, Taylor & Francis Journals, vol. 16(3), pages 261-266.
  4. Levine, David, 1989. "Cohesiveness, Productivity, and Wage Dispersion," Institute for Research on Labor and Employment, Working Paper Series qt8kd4d0p4, Institute of Industrial Relations, UC Berkeley.
  5. Brandon Avrutin & Paul Sommers, 2007. "Work Incentives and Salary Distributions in Major League Baseball," Atlantic Economic Journal, International Atlantic Economic Society, vol. 35(4), pages 509-510, December.
  6. Donald Richards & Robert Guell, 1998. "Baseball success and the structure of salaries," Applied Economics Letters, Taylor & Francis Journals, vol. 5(5), pages 291-296.
  7. Edward P. Lazear & Sherwin Rosen, 1979. "Rank-Order Tournaments as Optimum Labor Contracts," NBER Working Papers 0401, National Bureau of Economic Research, Inc.
  8. DepkenII, Craig A., 2000. "Wage disparity and team productivity: evidence from major league baseball," Economics Letters, Elsevier, vol. 67(1), pages 87-92, April.
  9. Paul Sommers, 1998. "Work incentives and salary distributions in the national hockey league," Atlantic Economic Journal, International Atlantic Economic Society, vol. 26(1), pages 119-119, March.
  10. David Berri & R. Jewell, 2004. "Wage inequality and firm performance: Professional basketball's natural experiment," Atlantic Economic Journal, International Atlantic Economic Society, vol. 32(2), pages 130-139, June.
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