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sarabella
26 Jul 2007, 03:45 PM
For those of you who love to engage in the parity debate:

http://www.economist.com/opinion/displaystory.cfm?story_id=9475866

In praise of unequal sports
Off the ball

Jul 12th 2007
From The Economist print edition
European politicians should not meddle with the beautiful game

IT IS a curious irony that Europe, which often takes a dim view of market forces, lets them rip in sport, while America, usually the world's most enthusiastic exponent of commerce and its consequences for society, has all sorts of arrangements in place to mitigate its effects on the nation's favourite pastimes. But these days, the American model is gaining adherents in Europe. Sports ministers in many countries are arguing that football needs to be exempted from competition law in order to allow governing bodies to equalise the resources of clubs without risking prosecution. The European Commission's strategy paper on sport, published on July 11th, ignored those calls; but the pressure will not go away. Professional sport differs from other businesses in one important respect. Rival teams need each other to produce a sellable product: a match. In most businesses co-operation between rivals would attract the ire of antitrust authorities. But in sport, an element of collusion is unavoidable (see article (http://www.economist.com/opinion/displaystory.cfm?story_id=9474097)).

The balance between collusion and individualism is a hard one to strike, but has been managed reasonably well by Europe's trustbusters. The collective selling of television rights, now the main source of income for football's elite, has usually been sanctioned by the European Commission's antitrust arm. Joint marketing is defensible, because sports contests are by their nature a collaboration.
Egalitarians quibble that the bulk of the money ends up with rich well-supported clubs. The English Premier League, for instance, collectively sells its television rights and splits the proceeds between clubs. But a club's share partly depends on how many of its games are broadcast and how high it finishes in the league, so Chelsea and Manchester United get a bigger slice. The worry is that the continued dominance of national championships by a few clubs will drive away supporters.
In the United States the baseball, basketball, hockey and American football leagues try to mitigate the effects of competition and inequality through revenue- and talent-sharing agreements, such as “the draft” (baseball even has a specific exemption from antitrust law). But it is not clear that this is either necessary or desirable. Measures to increase equality within a league take the edge off competition—and therefore, presumably, off the terror that drives sportsmen to excellence.
There is more to sport than watching too well-matched teams vie for supremacy. Professional basketball in America has lost some of its shine since one of Michael Jordan's many retirements ended the Chicago Bulls' dominance of the sport. The lesson from this and from golf's popularity since the emergence of Tiger Woods is that sporting prowess matters more to fans than strict competitive balance.

The lesson from Preston North End

European football has never been a balanced affair. The very first professional league championship in 1889 was a cakewalk for Preston North End, which went through a 22-game season without losing a match (it won in 1890 too, though never since). Championships in Portugal, Greece, the Netherlands and Scotland are nearly always won by just two or three clubs. Leagues in bigger countries are scarcely less open. Manchester United has won nine out of 15 league titles since the English Premier League was set up in 1992. None of this has impeded the global popularity of football, which has done far better as an export industry than America's more equal sports.
Politicians like the notion of equality. Sportsmen should beware it. Politics is about majorities, averages and keeping lots of people happy. Sport is about individuals, excellence and winning and losing. The two don't go well together; so it is, by and large, better for sport if politicians resist the temptation to interfere with it.

Matt Clark
27 Jul 2007, 01:19 AM
Didn't know The Economist did retreads. They first published this piece nearly two years ago.

The Economist says "let market forces be". In other news, Paris Hilton is a vainglorious bint and Jam is today officially declared sticky.

I'll get my sports commentary from The Economist when I get my business analysis from FourFourTwo.

sarabella
27 Jul 2007, 12:03 PM
Damn, someone's crabby lately.

yasik19
27 Jul 2007, 04:16 PM
I agree with Matt on this one. I suscribe to the Economist and read this piece a few weeks back and I thought it made sense, but at the same time, it wasn't anything out of the ordinary.

The Sundance Kid
28 Jul 2007, 09:05 AM
Damn, someone's crabby lately.

you'd be crabby too if you'd spent all that cash and hadn't won the league in 20 years.

revelationx
28 Jul 2007, 08:00 PM
you'd be crabby too if you'd spent all that cash and hadn't won the league in 20 years.

Actually in the last 20 years Liverpool have won the League twice plus 4 Fa Cups, 3 League Cups, 6 Community Shields, 1 European Cup, 1 UEFA Cup and 2 UEFA Super Cups. Those are the facts perhaps you should actually use them in some of your posts. Otherwise you are coming across as someone with no knowledge and zero credibility in this forum.

Matt Clark
29 Jul 2007, 03:49 AM
you'd be crabby too if you'd spent all that cash and hadn't won the league in 20 years.

I think someone has a crush on me. Sweet, but ... come on. We've never even met. Depositing some form of post in every thread I've ever visited in the hope of eliciting some, any, kind of response is as close as we'll ever get.

Sorry, but I really can't help you. Maybe try asking your sister for sex again.

leg_breaker
29 Jul 2007, 05:09 AM
And equally predictably, today the Observer has an article bemoaning the free market in football.

BrownBear
01 Aug 2007, 01:49 PM
I think the piece (at least the part you quoted -- I haven't gone to the link yet) misunderstands US sports business. Football (the NFL-kind) is by far the most popular US spectator sport b/c of its parity, which stems from the fact that it has an enormous national television contract, the proceeds from which are split evenly among the teams (a fight that the football's "socialists" won in the 1960s - - which is largely credited for the growth and success of american football). Although it is somewhat true that there is a Tiger Woods effect (people occasionally like to see dominance), most people in the US bemoan the fact that only a few teams have a chance to win a championship in baseball, a sport, at this point, which is only slightly better than the top European soccer leagues at fostering league-wide competition. Baseball may not have a big 4, but more than half the league has NO CHANCE at winning because they don't have the resoursces to compete. And I say this as a native NY'er and life-long Yankee fan. The article also horribly mangles the antitrust/competition aspects of US sports business, but that's another story altogether. (To be really short, under US antitrust law, the leagues can of course negotiate league-wide TV/radio contracts. No antitrust exemption is needed for that type of arrangement.)

PsychedelicCeltic
03 Aug 2007, 02:34 PM
The Marlins have more World Series wins in the 2000s than the Yankees.

So ******** off with the half the teams have no chance tripe.

Morris20
04 Aug 2007, 12:32 PM
That's called "the exception that proves the rule." Since the Marlins celebrate their victories with a player fire sale as the team spirals into bankruptcy.

PsychedelicCeltic
05 Aug 2007, 02:36 PM
That's called "the exception that proves the rule." Since the Marlins celebrate their victories with a player fire sale as the team spirals into bankruptcy.
Yeah, stick to football son, you have no idea what you're talking about.

The Marlins turn a profit yearly.

DaPrince84
05 Aug 2007, 10:59 PM
lol @ American sports leagues not letting money run things... does the Economist take into account that it costs about $600 million to join the NFL, where as a group of fans can start a club and join the English League? or the fact that the NFL makes it impossible for a team to lose money and a team to lose its value (no relegation)...

the NFL, and the major sports league is all about unfair competition and exclusion

leg_breaker
05 Aug 2007, 11:58 PM
I wonder where the parity is with the USFL that they illegally closed down.

DaPrince84
06 Aug 2007, 09:36 AM
I wonder where the parity is with the USFL that they illegally closed down.
thats the other thing... the NFL crushes competition... closed the AFL, USFL, WFL, etc...

its a monopoly... you can only join if you have $600 million to pay for a slot, and you cannot lose money... the only parity is that all the owners get richer