Course Description
Economic analysis of aspects of the sports industry e.g., incentives that influence actions of players, teams, leagues, and governments; economic impact of teams and special events; analytic tools for the sports industry.
Athena Title
Economic Analysis of Sport
Prerequisite
ECON 2105 or ECON 2105H or ECON 2105E or ECON 2106 or ECON 2106H or ECON 2106E
Semester Course Offered
Offered fall and spring
Grading System
A - F (Traditional)
Course Objectives
Students who complete this class will better understand how a sports league organizes its activities, maximizes its profit, promotes competition among its members, and negotiates with both players and governments. Students will also see how advances in analytic techniques and data collection have influenced both roster decisions and in-game strategy.
Topical Outline
1. Review of economic tools: opportunity cost, supply and demand, elasticity, profit maximization, prisoners' dilemma 2. Objectives of team owners 3. Structure and purpose of a sports league 4. Ticket pricing, television, and other revenue sources 5. Competitive balance as a goal and a justification 6. Team/league relations with players/union: history and recent disputes 7. Market for player labor and player salaries 8. Discrimination in sports 9. Economic impact of teams and special events 10. Public financing of sports stadiums 11. College sports: why the connection, current issues 12. Analytics: roster construction and game decisions 13. Data revolution 14. Recent research on incentives, decision making, dishonesty, discrimination, etc.
Syllabus