Dobson, S. and Goddard, J. (2014) Revenue Sharing in a Sports League with an Open Market in Playing Talent. Theoretical Economics Letters, 4, 410-414.
https://doi.org/10.4236/tel.[phone]

has been cited by the following article:

• TITLE: Revenue Sharing in a Sports League with an Open Market in Playing Talent: A Comment

  AUTHORS: Stefan Szymanski

  KEYWORDS: Professional Team Sports, Revenue Sharing, Competitive Inequality

  JOURNAL NAME: Theoretical Economics Letters, Vol.6 No.6, December 27, 2016

  ABSTRACT: Szymanski [1] and Szymanski and Késenne [2] showed that, in the standard model of a sports league, gate revenue sharing will tend to increase competitive imbalance between weak and strong teams, a seemingly perverse result. Dobson and Goddard [3] claim that “this analysis is flawed. If the revenue function is specified appropriately, gate revenue sharing always reduces competitive inequality.” This comment points out the analytical error in their paper which leads to their erroneous conclusion. Once their error is corrected, it is shown that the earlier results stand.