Comparing athletes’ mastery of salary information before and during the COVID-19 pandemic: Evidence from the national basketball association

Wen-Chao Shao, Han Zhang, Li-Chen Chou and Xi-Xi Ye

Economic Modelling, 2023, vol. 128, issue C

Abstract: The coronavirus disease 2019 (COVID-19) pandemic seriously affected the global economy and industry. Unlike previous studies that have discussed the economic losses suffered by the sports industry, this article provides a two-tier stochastic frontier model to estimate the mastery of salary information by athletes and the National Basketball Association (NBA) teams, with an emphasis on modeling athletes’ salary markets. This paper presents and combines team-level data for the 2019–2020 and 2020–2021 NBA seasons. The results indicate that the salary bargaining power of the athletes was enhanced and the power of NBA teams was weakened after the COVID-19 pandemic. The outbreak of COVID-19 reduced the revenue of athletes and NBA teams, but it also prompted closer communication between the two, enhancing the understanding of salary information and equalizing the power involved in contract negotiations between athletes and NBA teams.

Keywords: Athlete salaries; Salary information; National basketball association (NBA); Coronavirus disease 2019 (COVID-19); Two-tier stochastic frontier model (search for similar items in EconPapers)
Date: 2023
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0264999323003292
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:ecmode:v:128:y:2023:i:c:s0264999323003292

DOI: 10.1016/j.econmod.2023.106517

Access Statistics for this article

Economic Modelling is currently edited by S. Hall and P. Pauly

More articles in Economic Modelling from Elsevier
Bibliographic data for series maintained by Catherine Liu ().