The effect of league design on club revenues in the Scottish Premier League

Barry Reilly and Robert Witt

LSE Research Online Documents on Economics from London School of Economics and Political Science, LSE Library

Abstract: This paper exploits a sharp regression discontinuity design (RDD) to causally identify the impact of the league ‘split’ on Scottish Premier League (SPL) club revenues. The data used are drawn from 21 completed seasons in which the institutional arrangement has been in place in Scotland’s elite tier of professional soccer. The empirical analysis fails to detect strong or persuasive statistical evidence that the league design substantially impacts the revenue distribution of the participating clubs. Given the league design is found to be close to financially-neutral for the clubs most directly affected by the ‘split’, it is not viewed as a catalyst in driving financial inequality within the league.

Keywords: financial revenues sharp RDD; SPL ‘split’ (search for similar items in EconPapers)
JEL-codes: C21 Z00 (search for similar items in EconPapers)
Pages: 28 pages
Date: 2024-01-01
New Economics Papers: this item is included in nep-cul and nep-spo
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Published in Eastern Economic Journal, 1, January, 2024, 50(1). ISSN: 0094-5056

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http://eprints.lse.ac.uk/123046/ Open access version. (application/pdf)

Related works:
Journal Article: The Effect of League Design on Club Revenues in the Scottish Premier League (2024)
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Persistent link: https://EconPapers.repec.org/RePEc:ehl:lserod:123046

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