Article

The Market Structure of Professional Sports and the Implications for Stadium Construction and Team Movements

Robert A. Baade

in The Oxford Handbook of Sports Economics

Published in print May 2012 | ISBN: 9780195387780
Published online September 2012 | | DOI: http://dx.doi.org/10.1093/oxfordhb/9780195387780.013.0014

Series: Oxford Handbooks

The Market Structure of Professional Sports and the Implications for Stadium Construction and Team Movements

More Like This

Show all results sharing these subjects:

  • Economics
  • Industry Studies
  • Financial Institutions and Services

GO

Preview

This article explores the character of the commercial sports market, and how that unique structure affects the financing of sports facilities and the movement of teams. It also examines the extent to which individual team and league interests conflict, and the implications of such incompatibilities for league policy as it relates to the questions of facility financing and team relocation. Then, it argues that league policy as it relates to team movement and facility construction can be better understood through the application of game theory. New or significantly renovated playing facilities have substantially increased team revenues, and have provided impetus for franchise relocations from cities unwilling to subsidize the construction of the new generation of stadiums to communities that will. The structure of the professional sports industry has played a substantial role in determining the extent of stadium construction/renovation and team relocation.

Keywords: sports market; professional sports; stadium construction; team movement; team relocation; team revenues; league policy; game theory

Article.  6367 words. 

Subjects: Economics ; Industry Studies ; Financial Institutions and Services

Full text: subscription required

How to subscribeRecommend to my Librarian

Buy this work at Oxford University Press »