IDEAS home Printed from https://ideas.repec.org/a/sae/jospec/v22y2021i1p75-84.html
   My bibliography  Save this article

The AFL Pick Trading Market as a Coasian Utopia

Author

Listed:
  • Jemuel Chandrakumaran

Abstract

Sporting leagues have various competitive balance measures including player drafts, where teams are awarded picks based on prior performance. Teams, however, have the option to either exercise this pick or trade it as they see fit. An analysis of this trading market in the NFL stated that players obtained through traded picks contributed more to their recruiters in comparison to their counterparts. This paper retested this within the AFL and disproved this fact, establishing the Coasian notion of the efficient allocation of resources, based on some differences between the list management systems between the two leagues.

Suggested Citation

  • Jemuel Chandrakumaran, 2021. "The AFL Pick Trading Market as a Coasian Utopia," Journal of Sports Economics, , vol. 22(1), pages 75-84, January.
    • Handle: RePEc:sae:jospec:v:22:y:2021:i:1:p:75-84
    DOI: 10.1177/1527002520948108
    as

    Download full text from publisher

    File URL: https://journals.sagepub.com/doi/10.1177/1527002520948108
    Download Restriction: no
    File URL: https://libkey.io/10.1177/1527002520948108?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Michael Conlin & Patrick M. Emerson, 2006. "Discrimination in Hiring Versus Retention and Promotion: An Empirical Analysis of Within-Firm Treatment of Players in the NFL," The Journal of Law, Economics, and Organization, Oxford University Press, vol. 22(1), pages 115-136, April.
    2. R. H. Coase, 2013. "The Problem of Social Cost," Journal of Law and Economics, University of Chicago Press, vol. 56(4), pages 837-877.
    3. Cade Massey & Richard H. Thaler, 2013. "The Loser's Curse: Decision Making and Market Efficiency in the National Football League Draft," Management Science, INFORMS, vol. 59(7), pages 1479-1495, July.
    4. Schuckers Michael, 2011. "An Alternative to the NFL Draft Pick Value Chart Based upon Player Performance," Journal of Quantitative Analysis in Sports, De Gruyter, vol. 7(2), pages 1-14, May.
    5. Geoffrey N Tuck & Athol R Whitten, 2013. "Lead Us Not into Tanktation: A Simulation Modelling Approach to Gain Insights into Incentives for Sporting Teams to Tank," PLOS ONE, Public Library of Science, vol. 8(11), pages 1-10, November.
    6. Geoffrey N Tuck & Shane A Richards, 2019. "Risk equivalence as an alternative to balancing mean value when trading draft selections and players in major sporting leagues," PLOS ONE, Public Library of Science, vol. 14(5), pages 1-15, May.
    7. Philip L. Hersch & Jodi E. Pelkowski, 2016. "Are there too few trades during the NFL draft?," Applied Economics Letters, Taylor & Francis Journals, vol. 23(7), pages 516-519, May.
    8. Heather Mitchell & Constantino Stavros & Mark F. Stewart, 2011. "Does the Australian Football League Draft Undervalue Indigenous Australian Footballers?," Journal of Sports Economics, , vol. 12(1), pages 36-54, February.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Jemuel Chandrakumaran, 2022. "An Experimental Method in Juxtaposing Draft Picks and Active Players," Economic Papers, The Economic Society of Australia, vol. 41(1), pages 68-77, March.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Philip L. Hersch & Jodi E. Pelkowski, 2016. "Are there too few trades during the NFL draft?," Applied Economics Letters, Taylor & Francis Journals, vol. 23(7), pages 516-519, May.
    2. Quinn A. W. Keefer & Thomas J. Kniesner, 2023. "“Injury risk, concussions, race, and pay in the NFL”," Journal of Risk and Uncertainty, Springer, vol. 67(2), pages 107-136, October.
    3. Jemuel Chandrakumaran, 2020. "How Did the AFL National Draft Mitigate Perverse Incentives?," Journal of Sports Economics, , vol. 21(2), pages 139-151, February.
    4. Ian Gregory-Smith & Alex Bryson & Rafael Gomez, 2023. "Discrimination in a Rank Order Contest: Evidence from the NFL Draft," Journal of Economics, Race, and Policy, Springer, vol. 6(3), pages 215-231, September.
    5. Jemuel Chandrakumaran, 2022. "An Experimental Method in Juxtaposing Draft Picks and Active Players," Economic Papers, The Economic Society of Australia, vol. 41(1), pages 68-77, March.
    6. Tony Caporale & Trevor Collier, 2015. "Are We Getting Better or Are They Getting Worse? Draft Position, Strength of Schedule, and Competitive Balance in the National Football League," Journal of Labor Research, Springer, vol. 36(3), pages 291-300, September.
    7. Geoffrey N Tuck & Shane A Richards, 2019. "Risk equivalence as an alternative to balancing mean value when trading draft selections and players in major sporting leagues," PLOS ONE, Public Library of Science, vol. 14(5), pages 1-15, May.
    8. Nicolas SCELLES, 2016. "Wladimir Andreff (Ed.), Disequilibrium Sports Economics: Competitive Imbalance and Budget Constraints," Journal of Economics and Political Economy, KSP Journals, vol. 3(2), pages 393-410, June.
    9. George Loewenstein & Zachary Wojtowicz, 2023. "The Economics of Attention," CESifo Working Paper Series 10712, CESifo.
    10. Persson, Torsten & Tabellini, Guido, 2002. "Political economics and public finance," Handbook of Public Economics, in: A. J. Auerbach & M. Feldstein (ed.), Handbook of Public Economics, edition 1, volume 3, chapter 24, pages 1549-1659, Elsevier.
    11. Frans P. Vries & Nick Hanley, 2016. "Incentive-Based Policy Design for Pollution Control and Biodiversity Conservation: A Review," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 63(4), pages 687-702, April.
    12. George Tridimas & Stanley L. Winer, 2018. "On the Definition and Nature of Fiscal Coercion," Carleton Economic Papers 18-09, Carleton University, Department of Economics.
    13. Mario Jametti & Thomas von Ungern-Sternberg, 2005. "Assessing the Efficiency of an Insurance Provider—A Measurement Error Approach," The Geneva Risk and Insurance Review, Palgrave Macmillan;International Association for the Study of Insurance Economics (The Geneva Association), vol. 30(1), pages 15-34, June.
    14. Stefan Ambec & Yann Kervinio, 2016. "Cooperative decision-making for the provision of a locally undesirable facility," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 46(1), pages 119-155, January.
    15. Kurtis Swope & Ryan Wielgus & Pamela Schmitt & John Cadigan, 2011. "Contracts, Behavior, and the Land-assembly Problem: An Experimental Study," Research in Experimental Economics, in: Experiments on Energy, the Environment, and Sustainability, pages 151-180, Emerald Group Publishing Limited.
    16. Ralph E. Townsend, 2010. "Transactions costs as an obstacle to fisheries self-governance in New Zealand," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 54(3), pages 301-320, July.
    17. Simon Levin & Anastasios Xepapadeas, 2021. "On the Coevolution of Economic and Ecological Systems," Annual Review of Resource Economics, Annual Reviews, vol. 13(1), pages 355-377, October.
    18. Karsten Neuhoff, 2002. "Optimal congestion treatment for bilateral electricity trading," Working Papers EP05, Energy Policy Research Group, Cambridge Judge Business School, University of Cambridge.
    19. Maximiliano Marzetti & Rok Spruk, 2023. "Long-Term Economic Effects of Populist Legal Reforms: Evidence from Argentina," Comparative Economic Studies, Palgrave Macmillan;Association for Comparative Economic Studies, vol. 65(1), pages 60-95, March.
    20. Zilberman, David & Just, Richard E., 1979. "Risk Aversion And Property Rights," 1979 Annual Meeting, July 29-August 1, Pullman, Washington 278195, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:sae:jospec:v:22:y:2021:i:1:p:75-84. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: SAGE Publications (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.