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Measuring Parity in Sports Leagues with Draws: Further Comments

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  • P Dorian Owen

    () (Otago)

Abstract

This paper re-examines the calculation of the relative standard deviation (RSD) measure of competitive balance in leagues in which draws are possible outcomes. Some key conclusions emerging from the exchange between Cain and Haddock (2006) and Fort (2007) are reversed. There is no difference, for any given points assignment scheme, between the RSD for absolute points compared to percentages of points. However, variations in the points assignment that change the ratio of points for a win compared to a draw do result in different RSD values, although the numerical differences are minor.

Suggested Citation

  • P Dorian Owen, 2010. "Measuring Parity in Sports Leagues with Draws: Further Comments," NCER Working Paper Series 59, National Centre for Econometric Research.
  • Handle: RePEc:qut:auncer:2010_06
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    File URL: http://www.ncer.edu.au/papers/documents/WPNo59.pdf
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    References listed on IDEAS

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    1. Owen, P. Dorian, 2010. "Limitations of the relative standard deviation of win percentages for measuring competitive balance in sports leagues," Economics Letters, Elsevier, vol. 109(1), pages 38-41, October.
    2. Lief Brandes & Egon Franck, 2007. "Who Made Who – An Empirical Analysis of Competitive Balance in European Soccer Leagues," Eastern Economic Journal, Eastern Economic Association, vol. 33(3), pages 379-403, Summer.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    sports economics; competitive balance; relative standard deviation; idealized standard deviation; draws/ties;

    JEL classification:

    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
    • L83 - Industrial Organization - - Industry Studies: Services - - - Sports; Gambling; Restaurants; Recreation; Tourism

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