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Uncertainty of outcome and competitive balance: impact, causes and cures

Stefan Kesenne

Chapter 6 in A Modern Guide to Sports Economics, 2021, pp 70-88 from Edward Elgar Publishing

Abstract: There are few variables that show up more often in the literature on sports economics than competitive balance (CB); but, at the same time, few other variables generate more discussion and disagreement among sports economists. What exactly is meant by CB? The concept is ill defined both theoretically and empirically (see Kringstad and Gerrard, 2007). As indicated by Sanderson (2002), CB turns out to have many dimensions, and each dimension should be considered in one way or another. However, in this contribution, as in most approaches of CB, we refer to deviation in performances of teams, caused mainly by budget differences among teams, and the deviations in playing talent teams can afford to pay.

Keywords: Economics and Finance (search for similar items in EconPapers)
Date: 2021
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