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Are Demographic Diversity Effects Spurious?

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  • Stephan Nüesch

    (Institute of Strategy and Business Economics, University of Zurich, Plattenstrasse 14, CH-8032 Zürich, Switzerland)

Abstract

The substantial literature on the relationship between demographic diversity and team performance yields weak and/or inconsistent results. Using match-level data of all games played in the German soccer league Bundesliga over six seasons, this paper analyzes age, race and tenure diversity of the fielded team under different model specifications to test the robustness of demographic diversity effects. The empirical results reveal that the correlations between demographic diversity and the outcome of the game are confounded by mean values of the demographic attributes and contextual covariates.

Suggested Citation

  • Stephan Nüesch, 2009. "Are Demographic Diversity Effects Spurious?," Economic Analysis and Policy, Elsevier, vol. 39(3), pages 379-388, December.
    • Handle: RePEc:eee:ecanpo:v39:y:2009:i:3:p:379-388
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    References listed on IDEAS

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    1. Fiona Carmichael & Dennis Thomas & Robert Ward, 2000. "Team performance: the case of English Premiership football," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 21(1), pages 31-45.
    2. Benno Torgler & Sascha Schmidt, 2007. "What shapes player performance in soccer? Empirical findings from a panel analysis," Applied Economics, Taylor & Francis Journals, vol. 39(18), pages 2355-2369.
    3. Barbara S. Lawrence, 1997. "Perspective---The Black Box of Organizational Demography," Organization Science, INFORMS, vol. 8(1), pages 1-22, February.
    4. Granger, C. W. J. & Newbold, P., 1974. "Spurious regressions in econometrics," Journal of Econometrics, Elsevier, vol. 2(2), pages 111-120, July.
    5. Leif Brandes & Egon Franck & Philipp Theiler, 2009. "The Effect from National Diversity on Team Production – Empirical Evidence from the Sports Industry," Schmalenbach Business Review (sbr), LMU Munich School of Management, vol. 61(2), pages 225-246, April.
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    Cited by:

    1. Brox, Enzo & Krieger, Tommy, 2019. "Birthplace diversity and team performance," ZEW Discussion Papers 19-020, ZEW - Leibniz Centre for European Economic Research.

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    More about this item

    Keywords

    demographic diversity; spurious correlation; soccer;
    All these keywords.

    JEL classification:

    • J44 - Labor and Demographic Economics - - Particular Labor Markets - - - Professional Labor Markets and Occupations
    • L83 - Industrial Organization - - Industry Studies: Services - - - Sports; Gambling; Restaurants; Recreation; Tourism
    • M12 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Personnel Management; Executives; Executive Compensation

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