Limitations of the relative standard deviation of win percentages for measuring competitive balance in sports leagues
Owen, P. Dorian
The relative standard deviation of win percentages, the most widely used measure of within-season competitive balance, has an upper bound which is very sensitive to variation in the numbers of teams and games played. Taking into account this upper bound provides additional insight into comparisons of competitive balance across leagues or over time.
Publisher: Department of Economics, University of Otago
Series number: 908
Keywords: Competitive balance; Relative standard deviation; Idealized standard deviation
Research Type: Discussion Paper