The Collective Bargaining Effects of NBA Player Productivity Dynamics
We apply quintile regression methodology to player pay and performance data from the 1985-86 to 2005-06 seasons of the National Basketball Association (NBA). In addition to confirming a finding from Hakes and Turner (2007) of systematic bias in pooled OLS regressions of career paths for salary and productivity, the quintile analysis presents two important results regarding NBA salary structure. Unlike Major League Baseball (MLB), the highest ability veteran NBA players suffer salary suppression relative to the lesser-talented players in their debut-year cohort, indicating rents have been transferred from the most able players to players of lesser abilities. Also, while young NBA players in general suffer from salary suppression relative to free agents, as is well-reported in baseball, our regression results show that the highest-ability young players suffer the most salary suppression, and that the effects of the rookie salary cap in the 1995 NBA Collective Bargaining Agreement depressed salaries for young players of all ability levels.
|Date of creation:||27 Sep 2007|
|Date of revision:|
|Contact details of provider:|| Postal: Ludwigstraße 33, D-80539 Munich, Germany|
Web page: https://mpra.ub.uni-muenchen.de
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Scully, Gerald W, 1974. "Pay and Performance in Major League Baseball," American Economic Review, American Economic Association, vol. 64(6), pages 915-30, December.
- Lawrence M. Kahn, 1991. "Discrimination in Professional Sports: A Survey of the Literature," ILR Review, Cornell University, ILR School, vol. 44(3), pages 395-418, April.
- Turner, Chad & Hakes, Jahn, 2007.
"Pay, productivity and aging in Major League Baseball,"
4326, University Library of Munich, Germany.
- Jahn Hakes & Chad Turner, 2011. "Pay, productivity and aging in Major League Baseball," Journal of Productivity Analysis, Springer, vol. 35(1), pages 61-74, February.
- Ira Horowitz & Christopher Zappe, 1998. "Thanks for the memories: baseball veterans' end-of-career salaries," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 19(6), pages 377-382.
- Daniel R. Marburger, 2004. "Arbitrator Compromise in Final Offer Arbitration: Evidence from Major League Baseball," Economic Inquiry, Western Economic Association International, vol. 42(1), pages 60-68, January.
- Kahn, Lawrence M, 1993. "Free Agency, Long-Term Contracts and Compensation in Major League Baseball: Estimates from Panel Data," The Review of Economics and Statistics, MIT Press, vol. 75(1), pages 157-64, February.
- Kubatko Justin & Oliver Dean & Pelton Kevin & Rosenbaum Dan T, 2007. "A Starting Point for Analyzing Basketball Statistics," Journal of Quantitative Analysis in Sports, De Gruyter, vol. 3(3), pages 1-24, July.
- Krohn, Gregor A, 1983. "Measuring the Experience-Productivity Relationship: The Case of Major League Baseball," Journal of Business & Economic Statistics, American Statistical Association, vol. 1(4), pages 273-79, October.
- Brad R. Humphreys, 2000. "Equal Pay on the Hardwood: The Earnings Gap between Male and Female NCAA Division I Basketball Coaches," Journal of Sports Economics, The North American Association of Sports Economists, vol. 1(3), pages 299-307, August.
When requesting a correction, please mention this item's handle: RePEc:pra:mprapa:5058. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Joachim Winter)
If references are entirely missing, you can add them using this form.