Selection biases in sports markets

Nestor Gandelman

No 17, Documentos de Investigación from Universidad ORT Uruguay. Facultad de Administración y Ciencias Sociales

Abstract: This paper tests for the existence of two types of selection biases in sports markets. First, better-educated players and players of higher socioeconomic background have better outside opportunities. If ther decide to take rhe risks of a professional soccer career they must be truly good in order to compensate their higher opportunity costs. Second, of talent is distributed equally among the population, we should not find any difference in the performance evaluation of white and nonwhite players. This potential difference provides a "market teste" for discrimination. Using data on the Uruguayan Soccer League in the 2000 and 2001 seasons we find evidence od these two types of selection biases. Our estimations show a positive relationship between education and performance, education and promotions and discrimination against nonwhite players in the national league but not with respect to to international soccer markets.

Keywords: sports economics; selection; education. (search for similar items in EconPapers)
JEL-codes: J63 L83 (search for similar items in EconPapers)
Pages: 23 pages
Date: 2005-02
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Related works:
Journal Article: Selection Biases in Sports Markets (2009)
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Persistent link: https://EconPapers.repec.org/RePEc:avs:wpaper:17

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