Law and Economics of Sports Leagues
A Law and Economics Analysis of The Organization and Operation of Professional Major Sports Leagues
Modern sports have solidified their importance in today’s society over the last century.
Stemming from small amateur clubs of early versions of baseball, cricket, and soccer formed out of fellowship and common enjoyment for the game, today’s professional sporting leagues have exploded into multibillion-‐dollar industries. These industries are driven by demand from consumers to watch sports and broadcasting firms to publicize them. Law and economic theories can be use to examine the minute details of organizing a single sports contest all the way up to the organization of a major professional league.
I. Early Evolution of Sports A brief history of the creation and diffusion of sporting practices and leagues will make the law and economic models within the leagues clearer. The major sports that we see today-‐ soccer, football, baseball, basketball, cricket, tennis, golf, motor racing and cycling-‐were all formalized between 1750 and 1900 (Szymanski 8). The spread of
Modern sports have solidified their importance in today’s society over the last century.
Stemming from small amateur clubs of early versions of baseball, cricket, and soccer formed out of fellowship and common enjoyment for the game, today’s professional sporting leagues have exploded into multibillion-‐dollar industries. These industries are driven by demand from consumers to watch sports and broadcasting firms to publicize them. Law and economic theories can be use to examine the minute details of organizing a single sports contest all the way up to the organization of a major professional league.
I. Early Evolution of Sports A brief history of the creation and diffusion of sporting practices and leagues will make the law and economic models within the leagues clearer. The major sports that we see today-‐ soccer, football, baseball, basketball, cricket, tennis, golf, motor racing and cycling-‐were all formalized between 1750 and 1900 (Szymanski 8). The spread of
Cited: Szymanski, Stefan. Playbooks and Checkbooks: An Introduction to the Economics of Modern Sports. Princeton: Princeton UP, 2009. Print. 12