The effect of league design on club revenues in the Scottish Premier League

Reilly, Barry and Witt, Robert (2024) The effect of league design on club revenues in the Scottish Premier League. Eastern Economic Journal, 50 (1). ISSN 0094-5056

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Abstract

This paper exploits a sharp regression discontinuity design (RDD) to causally identify the impact of the league ‘split’ on Scottish Premier League (SPL) club revenues. The data used are drawn from 21 completed seasons in which the institutional arrangement has been in place in Scotland’s elite tier of professional soccer. The empirical analysis fails to detect strong or persuasive statistical evidence that the league design substantially impacts the revenue distribution of the participating clubs. Given the league design is found to be close to financially-neutral for the clubs most directly affected by the ‘split’, it is not viewed as a catalyst in driving financial inequality within the league.

Item Type:	Article
Official URL:	https://www.palgrave.com/gp/journal/41302
Additional Information:	© 2023 EEA
Divisions:	Centre for Economic Performance
Subjects:	H Social Sciences > HF Commerce G Geography. Anthropology. Recreation > GV Recreation Leisure
JEL classification:	C - Mathematical and Quantitative Methods > C2 - Econometric Methods: Single Equation Models; Single Variables > C21 - Cross-Sectional Models; Spatial Models; Treatment Effect Models Z - Other Special Topics > Z0 - General > Z00 - General
Date Deposited:	13 May 2024 15:12
Last Modified:	16 Jul 2024 18:12
URI:	http://eprints.lse.ac.uk/id/eprint/123046

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