Sports Economics, Management and Policy

The Run to the Pennant

A Multiple Equilibria Approach to Professional Sports Leagues

Authors: Rockerbie, Duane W, Easton, Stephen T

  • ​Explores  the effects of revenues that are earned at the league level (television, apparel, naming rights, etc.) that are then shared by all of the member clubs
  • Develops new models that can generate multiple equilibria and unsustainable runs
  • Employs sound empirical work using time-series methods not commonly used in  the economics of sports​
see more benefits

Buy this book

eBook $99.00
price for USA (gross)
  • ISBN 978-1-4614-7885-0
  • Digitally watermarked, DRM-free
  • Included format: PDF, EPUB
  • ebooks can be used on all reading devices
  • Immediate eBook download after purchase
Hardcover $129.00
price for USA
  • ISBN 978-1-4614-7884-3
  • Free shipping for individuals worldwide
  • Online orders shipping within 2-3 days.
Softcover $129.00
price for USA
  • ISBN 978-1-4939-5297-7
  • Free shipping for individuals worldwide
  • Usually dispatched within 3 to 5 business days.
About this book

A number of clubs in professional sports leagues exhibit winning streaks over a number of consecutive seasons that do not conform to the standard economic model of a professional sports league developed by El Hodiri and Quirk (1994) and Fort and Quirk (1995). These clubs appear to display what we term "unsustainable runs", defined as a period of two to four seasons where the club acquires expensive talent and attempts to win a league championship despite not having the market size to sustain such a competitive position in the long run. The standard model predicts that clubs that locate in large economic markets will tend to acquire more talent, achieve more success on the field and at the box office than clubs that are located in small markets. This book builds a model that can allow unsustainable runs yet retains most of the features of the standard model.  The model is then subjected to empirical verification.  The new model we develop in the book has as its central feature the possibility of generating two equilibria for a club. In the empirical sections of the book, we use time-series analysis to attempt to test for the presence of unsustainable runs using historical data from National Football League (NFL), National Basketball Association (NBA), National Hockey League (NHL) and Major League Baseball (MLB).  The multiple equilibria model retains all of the features of the standard model of a professional sports league that is accepted quite universally by economists, yet it offers a much richer approach by including an exploration of the effects of revenues that are earned at the league level (television, apparel, naming rights, etc.) that are then shared by all of the member clubs, making this book unique and of great interest to scholars in a variety of fields in economics.

Table of contents (7 chapters)

  • Introducing Unsustainable Runs

    Rockerbie, Duane W. (et al.)

    Pages 1-8

  • Casual Evidence of Unsustainable Runs

    Rockerbie, Duane W. (et al.)

    Pages 9-19

  • A Model of a Professional Sports League

    Rockerbie, Duane W. (et al.)

    Pages 21-27

  • A Professional League Model with Unsustainable Runs

    Rockerbie, Duane W. (et al.)

    Pages 29-41

  • Unsustainable Runs with Revenue Sharing and Salary Caps

    Rockerbie, Duane W. (et al.)

    Pages 43-51

Buy this book

eBook $99.00
price for USA (gross)
  • ISBN 978-1-4614-7885-0
  • Digitally watermarked, DRM-free
  • Included format: PDF, EPUB
  • ebooks can be used on all reading devices
  • Immediate eBook download after purchase
Hardcover $129.00
price for USA
  • ISBN 978-1-4614-7884-3
  • Free shipping for individuals worldwide
  • Online orders shipping within 2-3 days.
Softcover $129.00
price for USA
  • ISBN 978-1-4939-5297-7
  • Free shipping for individuals worldwide
  • Usually dispatched within 3 to 5 business days.
Loading...

Recommended for you

Loading...

Bibliographic Information

Bibliographic Information
Book Title
The Run to the Pennant
Book Subtitle
A Multiple Equilibria Approach to Professional Sports Leagues
Authors
Series Title
Sports Economics, Management and Policy
Series Volume
5
Copyright
2014
Publisher
Springer-Verlag New York
Copyright Holder
Springer Science+Business Media New York
eBook ISBN
978-1-4614-7885-0
DOI
10.1007/978-1-4614-7885-0
Hardcover ISBN
978-1-4614-7884-3
Softcover ISBN
978-1-4939-5297-7
Series ISSN
2191-298X
Edition Number
1
Number of Pages
VI, 78
Number of Illustrations and Tables
11 b/w illustrations, 9 illustrations in colour
Topics