nep-spo New Economics Papers
on Sports and Economics
Issue of 2021‒01‒25
three papers chosen by
Humberto Barreto
DePauw University

  1. Measuring Market Power in Professional Baseball, Basketball, Football, and Hockey By Healy, Gerald T., III; Tan, Jing Ru; Orazem, Peter F.
  2. Better by design? Collaboration and performance in the board-game industry By Nicola Cortinovis; Frank van der Wouden;
  3. A study to determine the predictors of game addiction based on loneliness, motivation, and interpersonal competence By Munshi, Atif; Saleem, Hammad; Muhammad, Ubaid-ul-haq; Faheem, Syed Talha; Anwer, Talha

  1. By: Healy, Gerald T., III; Tan, Jing Ru; Orazem, Peter F.
    Abstract: Using Forbes magazine’s estimates of the current value and revenues of professional sports teams, we derive a long-run variant of the Lerner Index. We apply the strategy to professional teams in baseball, basketball, football, and hockey over the 2006–2019 period. All teams have positive and significant price-cost margins over the entire period. Analysis of variance shows that local market factors and past team performance have less impact on a team’s market power than do common league-wide effects. The strongest market power is in leagues with more aggressive revenue sharing policies. Price-cost margins are higher for professional teams in North American than for the most valuable European soccer teams, consistent with the stronger exemption from antitrust law in the United States and the weaker revenue sharing policies in Europe.
    Date: 2020–01–01
  2. By: Nicola Cortinovis; Frank van der Wouden;
    Abstract: Research on team-work has mostly focused on scientific, technological and corporate domains, in which team-work is organized in systematic, coordinated and formal processes. However, it is unclear to what extent these findings apply to fields in which team-work is less institutionalized, unregulated and occurs outside corporate and academic boundaries. In this paper we study team-work among board-game designers to bring new insights on the effect of team-composition on performance. The board-game industry offers important advantages to complement the extant literature, because team-work during game designing is a rather informal, unstructured process that relies on creativity, imagination and out-of-the-box thinking. We apply econometric and machine learning tools to a novel detail-rich database with information on 10,000 quality-rated games and their 5,167 designers. We examine whether collaborating with someone with higher past ratings increases the quality of output of the collaborated board-game. In addition, we explore three well-documented characteristics that may also impact the quality of output through collaboration. Our findings indicate that the quality of the output of a board-game designer significantly increases when (1) collaborating with a better performing designer, (2) having little or a lot of overlap in terms of expertise with the collaborator and (3) being geographical proximate to the collaborator. These findings suggest that the relation between team-work and performance in the board-game industry is different than in industries and sectors in which collaboration is coordinated in formal settings. We connect our results to other debates in the innovation literature and propose policy and managerial implications.
    Date: 2021–01
  3. By: Munshi, Atif; Saleem, Hammad; Muhammad, Ubaid-ul-haq; Faheem, Syed Talha; Anwer, Talha
    Abstract: The objective of this study is to determine the predictor that will lead to Online Game Addiction. The dependent variable of this study is Online Game addiction and the independent variables are Loneliness, Inter-personal Competence, and Regulatory Focus (Promotion and Prevention Motivation). The data was collected through a convenience sampling technique from 500 respondents who are playing an online game on a daily basis in Karachi. SPSS software was used to test the hypothesis. The finding of the research is Regulatory Focus, Loneliness, and Inter-Personal Competence have a significant impact on Online Game Addiction. The recommendation for future researchers is to increase their sample size and variable in order to study this topic more deeply.
    Keywords: Online Game Addiction, Competence, Regulatory Focus, Loneliness, Higher Education.
    JEL: I2 I23
    Date: 2020

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