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The Competitive Returns To The Global Search For Talent: Professional Sports Markets And Foreigners

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  • Martin B. Schmidt

Abstract

We examine the geographical and racial diversity of a market's labor supply. While the likely impact of expanding supply is to increase the level of productivity, it is not obvious what impact the expansion would have on the overall level of competition. If the added labor increases productivity differentials or are disproportionately populated on high achieving firms, then the likely result would be greater imbalance. We find that while increases in the foreign‐born component are associated with an increase in the overall level of competition, the impact has diminished across time. (JEL C22, D23, D30)

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  • Martin B. Schmidt, 2021. "The Competitive Returns To The Global Search For Talent: Professional Sports Markets And Foreigners," Economic Inquiry, Western Economic Association International, vol. 59(1), pages 396-419, January.
    • Handle: RePEc:bla:ecinqu:v:59:y:2021:i:1:p:396-419
    DOI: 10.1111/ecin.12947
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    References listed on IDEAS

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    Cited by:

    1. Martin B. Schmidt, 2021. "On the evolution of athlete anthropometric measurements: racial integration, expansion, and steroids," Empirical Economics, Springer, vol. 61(6), pages 3419-3443, December.

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    More about this item

    JEL classification:

    • C22 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Time-Series Models; Dynamic Quantile Regressions; Dynamic Treatment Effect Models; Diffusion Processes
    • D23 - Microeconomics - - Production and Organizations - - - Organizational Behavior; Transaction Costs; Property Rights
    • D30 - Microeconomics - - Distribution - - - General

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