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The Effects of Elite Sports on Later Job Success

Author

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  • Dewenter, Ralf

    (Helmut Schmidt University, Hamburg)

  • Giessing, Leonie

    (DICE, University of Düsseldorf)

Abstract

This paper analyses the income effect of the participation in elite sports. To quantify the average difference in the monthly net income of former elite athletes and non-athletes we estimate sample average treatment effect scores (SATT) by using covariate nearest-neighbour matching (CVM). While our treatment group consists of formerly funded top-level athletes, the control group of non-athletes is drawn from the SOEP database. Matching takes place by socio-demographic variables as well as measures of personal qualities and attitudes. On average, former athletes receive higher incomes than similar non-athletes. The income premium for former team sports and male athletes is even higher. Comparing the income of former female athletes with male non-athletes, we find that the participation in elite sports closes the gender-wage gap. Our results are robust to variations in the specification and statistically as well economically significant.

Suggested Citation

  • Dewenter, Ralf & Giessing, Leonie, 2014. "The Effects of Elite Sports on Later Job Success," Working Paper 152/2014, Helmut Schmidt University, Hamburg.
    • Handle: RePEc:ris:vhsuwp:2014_152
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    More about this item

    Keywords

    funding of elite sports; nearest-neighbour matching; job success; gender-wage gap;
    All these keywords.

    JEL classification:

    • C49 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Other
    • J30 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - General
    • L83 - Industrial Organization - - Industry Studies: Services - - - Sports; Gambling; Restaurants; Recreation; Tourism

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