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dc.contributor.authorFeess, Eberharden_NZ
dc.contributor.authorStähler, Franken_NZ
dc.date.available2011-04-07T03:05:22Z
dc.date.copyright2005-10en_NZ
dc.identifier.citationFeess, E., & Stähler, F. (2005). Revenue sharing in professional sports leagues (Economics Discussion Papers Series No. 512). University of Otago. Retrieved from http://hdl.handle.net/10523/880en
dc.identifier.urihttp://hdl.handle.net/10523/880
dc.description.abstractWe employ a model of n heterogenous profit-maximizing clubs to analyze the impact of revenue sharing in a professional sports league. Individual revenues depend on both talent demand and competitive balance. We identify three effects of revenue sharing. The revenue effect reduces talent demand of each club because a part of the revenues is generated by competitors. The asymmetric cost effect supports the first effect, and is even stronger for weak clubs. The competitive balance effect makes clubs more sensitive to competitive balance. We show that the asymmetric cost effect unambiguously dominates the competitive balance effect so that revenue sharing decreases both talent demand and competitive balance, and thereby aggregate profits and social welfare.en_NZ
dc.format.mimetypeapplication/pdf
dc.publisherUniversity of Otagoen_NZ
dc.relation.ispartofseriesEconomics Discussion Papers Seriesen_NZ
dc.relation.urihttp://www.business.otago.ac.nz/econ/research/discussionpapers/DP_0512.pdfen_NZ
dc.subjectrevenue sharingen_NZ
dc.subjectprofessional sport leaguesen_NZ
dc.subject.lcshHB Economic Theoryen_NZ
dc.titleRevenue sharing in professional sports leaguesen_NZ
dc.typeDiscussion Paperen_NZ
dc.description.versionUnpublisheden_NZ
otago.bitstream.pages21en_NZ
otago.date.accession2006-02-02en_NZ
otago.schoolEconomicsen_NZ
otago.openaccessOpen
otago.place.publicationDunedin, New Zealanden_NZ
dc.identifier.eprints211en_NZ
otago.school.eprintsEconomicsen_NZ
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otago.relation.number512en_NZ
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