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Football Betting And The Neglected-Firm Effect Revisited: A Note

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  • Ladd Kochman
  • Randy Goodwin

Abstract

A study that tested the neglected-firm effect in the football-betting market for the 1985-1995 period was replicated for the 1996-2002 seasons. Wins-to-bets ratios were again compiled for the college teams rated "most-neglected" and "least-neglected"; however, schools so designated in the earlier investigation were re-evaluated and, where necessary, replaced to ensure that neglect -- and not specific teams -- functioned as the explanatory variable. Results suggest that neglected teams are not an exception to the efficient market hypothesis (EMH).

Suggested Citation

  • Ladd Kochman & Randy Goodwin, 2004. "Football Betting And The Neglected-Firm Effect Revisited: A Note," New York Economic Review, New York State Economics Association (NYSEA), vol. 35(1), pages 64-68.
    • Handle: RePEc:nye:nyervw:v:35:y:2004:i:1:p:64-68
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