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Review of Industrial Organization

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18-01-2018

Symposium: The NCAA Cartel—Introduction

Author: Roger D. Blair

Published in: Review of Industrial Organization | Issue 2/2018

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Becker (1987) once characterized the National Collegiate Athletic Association (NCAA) as a “cartel in Sheepskin clothing,” which seems to be an apt description. Under the organizing umbrella of the NCAA, the member institutions collusively exploit both monopolistic and monopsonistic power. The members of the cartel are a diverse lot in terms of size, scope of athletic participation, the selectivity of admissions, location, and mode of operations. …

next article The National Collegiate Athletic Association Cartel: Why it Exists, How it Works, and What it Does

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Zimbalist (2017) argues with some force that the cartel is not sustainable without some much needed reforms.

NCAA v. Board of Regents of the University of Oklahoma, 468 U.S. 85 (1984).

If there is competitive balance, both teams have a reasonable probability of winning. Whether this is as important as some believe is still open to question.

It is not entirely clear what a university athletic director’s objective function ought to be. On the one hand, increased revenues obviously permit increased expenditures, on the other hand, costs limit expenditures or deficits will materialize.

For an excellent analysis of the NASDAQ Cartel, see Christie and Schultz (1994). For more on the durability of non-competitive real estate commission rates, see White (2006).

Becker, G. S. (1987, September 14). The NCAA: A cartel in sheepskin clothing. Business Week, p. 24.

Blair, R. D., & Wang, W. (2017). The NCAA cartel and antitrust policy. Review of Industrial Organization. https://doi.org/10.1007/s11151-017-9603-y.

Christie, W. G., & Schultz, P. H. (1994). Why do NASDAQ market makers avoid odd-eighth quotes? The Journal of Finance, 49, 1813–1840.CrossRef

Fort, R. (2017). Modeling competitive imbalance and self-regulation in college sports. Review of Industrial Organization. https://doi.org/10.1007/s11151-017-9591-y.

Harris, J. S. (2017). State of play: How do college football programs compete for student athletes? Review of Industrial Organization. https://doi.org/10.1007/s11151-017-9602-z.

Hovenkamp, H. (2017). The NCAA and the rule of reason. Review of Industrial Organization. https://doi.org/10.1007/s11151-017-9589-5.

Humphreys, B. R., & Ruseski, J. R. (2017). Strategic interaction in a repeated game: Evidence from NCAA football recruiting. Review of Industrial Organization. https://doi.org/10.1007/s11151-017-9600-1.

Leeds, M. A., Leeds, E. M., & Harris, A. (2017). Rent sharing and the compensation of head coaches in power five college football. Review of Industrial Organization. https://doi.org/10.1007/s11151-017-9604-x.

Mills, B., & Winfree, J. (2017). Athlete pay and competitive balance in college athletics. Review of Industrial Organization. https://doi.org/10.1007/s11151-017-9606-8.

Sanderson, A. R., & Siegfried, J. J. (2017a). The national collegiate athletic association cartel: Why it exists, how it works, and what it does. Review of Industrial Organization. https://doi.org/10.1007/s11151-017-9590-z.

Sanderson, A. R., & Siegfried, J. J. (2017b). The role of broadcasting in national collegiate athletic association sports. Review of Industrial Organization. https://doi.org/10.1007/s11151-017-9593-9.

White, L. J. (2006). The residential real estate brokerage industry: What would more vigorous competition look like? Real Estate Law Journal, 35, 11–32.

Zimbalist, A. (2017). Whither the NCAA: Reforming the system. Review of Industrial Organization. https://doi.org/10.1007/s11151-017-9598-4.

Title: Symposium: The NCAA Cartel—Introduction
Author: Roger D. Blair
Publication date: 18-01-2018
Publisher: Springer US
Published in: Review of Industrial Organization / Issue 2/2018
Print ISSN: 0889-938X
Electronic ISSN: 1573-7160
DOI: https://doi.org/10.1007/s11151-018-9614-3

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Other articles of this Issue 2/2018

State of Play: How Do College Football Programs Compete for Student Athletes?

The NCAA and the Rule of Reason

Strategic Interaction in a Repeated Game: Evidence from NCAA Football Recruiting

Athlete Pay and Competitive Balance in College Athletics

The NCAA Cartel and Antitrust Policy

The National Collegiate Athletic Association Cartel: Why it Exists, How it Works, and What it Does

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