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Regional effects of professional sports franchises: causal evidence from four European football leagues

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  • Brachert, Matthias

Abstract

The locational pattern of clubs in four professional football leagues in Europe is used to test the causal effect of relegations on short-run regional development. The study relies on the relegation mode of the classical round-robin tournament in the European model of sport to develop a regression-discontinuity design. The results indicate small and significant negative short-term effects on regional employment and output in the sports-related economic sector. In addition, small negative effects on overall regional employment growth are found. Total regional gross value added remains unaffected.

Suggested Citation

  • Brachert, Matthias, 2020. "Regional effects of professional sports franchises: causal evidence from four European football leagues," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, issue Latest Ar, pages 1-12.
    • Handle: RePEc:zbw:espost:225016
    DOI: 10.1080/00343404.2020.1759794
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    References listed on IDEAS

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    1. Barry Reilly & Robert Witt, 2021. "The Effect of League Design on Spectator Attendance: A Regression Discontinuity Design Approach," Journal of Sports Economics, , vol. 22(5), pages 514-545, June.

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    More about this item

    Keywords

    professional football; relegation; regional growth; regression-discontinuity design;
    All these keywords.

    JEL classification:

    • J40 - Labor and Demographic Economics - - Particular Labor Markets - - - General
    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)

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