Solutions Manual for The Economics of Sports 7th Edition By Michael Leeds, Peter von Allmen, Victor Matheson | All Chapters| Verified Solutions| Rated A+

Solutions Manual sw




for The Economics of Sports 7th Edition By Michael Leeds, Peter von Allmen,
sw sw sw sw sw sw sw sw sw sw sw sw




sw Victor Matheson | All Chapters| Verified Solutions| Rated A+
sw sw sw sw sw sw sw sw




Nursestar1 Stuvia
sw sw

,The Economics of Sports 7e Michael Leeds, Peter von Allmen, Victor Matheson
sw sw sw sw sw sw sw sw sw sw sw



(Solutions Manual All Chapters, 100% Original Verified, A+ Grade)
sw sw sw sw sw sw sw sw sw




Instructor‘s Manual for The Economics of Sports, 7th edition
sw sw sw sw sw sw sw sw


Revised and updated by Dr Qi Ge, Vassar College, New
sw sw sw sw sw sw sw sw sw sw


York, USA
sw sw




Chapter 1 sw




Economics and Sports sw sw




 Outline
Introduction

1.1 The Organization of the Text
sw sw sw sw




1.2 Babe Ruth and Comparative Advantage
sw sw sw sw



Opportunity Costs sw



Absolute and Comparative Advantage sw sw sw



sw Biographical Sketch: Babe Didrikson sw sw sw



sw Zaharias Summary, Discussion Questions,
sw sw sw



sw Problems


 Teaching Tips and Additional Examples sw sw sw sw




A unique challenge in teaching a course in the economics of sports is refining student
sw sw sw sw sw sw sw sw sw sw sw sw sw sw


expectations for the class. Indeed, some professors and departments have been reluctant to offer
sw sw sw sw sw sw sw sw sw sw sw sw sw sw


a course in this field over worries that it will attract students wishing to take a ―blow-off‖
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


course or that the topic of sports cannot be made rigorous enough to be included in a college
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


curriculum. Therefore, it is important from the very beginning of the class to emphasize that
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


the course is first and foremost an economics class and that sports merely supplies the context
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


in which to study economics. As noted by a colleague, ―Expectations can sometimes be
sw sw sw sw sw sw sw sw sw sw sw sw sw sw


seriously off track for those students who may have chosen the course more because they saw
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


the word ‗sports‘ in the title rather the word ‗economics.‘ ‖ As you go over the syllabus, it is
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


important to emphasize the economic theories that you look forward to covering as opposed to
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


the sports events and history. As the prerequisites for this course vary greatly from school to
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


school, as does the intended audience, it may be worthwhile to collect information from each
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


student about past coursework in economics and math in order to tailor the class to the ability
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


level of the students enrolled.
sw sw sw sw sw




It may be helpful to stress that economics is an incredibly flexible subject that can be applied to
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


just about any facet of life. In this respect, as the course progresses it is often useful to
sw sw sw sw sw sw s w sw sw sw sw sw sw sw sw sw sw sw


remind the students some parallel application to the current topic. The key is to show that
sw sw sw sw sw sw sw sw sw sw s w sw sw sw sw sw


the economic principles (and therefore the rigor) does not change even if the application of
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


those principles do. This is particularly important if the class is offered as a lower level
sw sw sw s w sw sw sw sw sw sw sw sw sw sw sw sw


elective with minimal prerequisites but ends up attracting an audience primarily made up of
sw sw sw sw sw sw sw sw sw sw sw sw sw sw


senior economics majors. With a diverse distribution of students, the emphasis on the
sw sw sw s w sw sw sw sw sw sw sw sw sw


application of economics will help teach the principles to those who may be seeing these
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


concepts for the first time, and reinforcing them to the more advanced students.
sw sw sw sw sw sw sw sw sw sw sw sw sw




It may also be worthwhile to poll students about their favorite sports and teams, again to tailor
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


the class to the interests of students in class. For example, when teaching competitive balance
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


one can draw examples from any league, and using a sport for which students in class have
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


expressed a preference is likely to keep students more interested in the topic even as the
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


technical details of measuring competitive balance are explained. Similarly, a class with a large
sw sw sw sw sw sw sw sw sw sw sw sw sw sw


number of foreign students, for example, is likely to express
sw sw sw sw sw sw sw sw sw sw

,Instructor‘s Manual for The Economics of Sports, 7th edition
sw sw sw sw sw sw sw sw


Revised and updated by Dr Qi Ge, Vassar College, New
sw sw sw sw sw sw sw sw sw sw


York, USA
more interest in soccer over the ―big four‖ American leagues. In this respect the inclusion of more
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


international sports as the editions progressed should benefit the student body.
sw sw sw sw sw sw sw sw sw sw




As Chapter 1 of the text notes, the text explores sports as it applies to three major areas of
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


economics: industrial organization, public finance, and labor. As an opening exercise, you might
sw sw sw sw sw sw sw sw sw sw sw sw sw


consider asking the class to give examples of how economic forces impact professional and
sw sw sw sw sw sw sw sw sw sw sw sw sw sw


major amateur sports without first prompting them about the three areas. Once they have
sw sw sw sw sw sw sw sw sw sw sw sw sw sw


accumulated a good list on the board, see if they can divide those issues into the three areas.
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


Some issues, such as those related to competitive balance, will be addressed in more than one
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


area—you can note that as you go along.
sw sw sw sw sw sw sw sw




Chapter 1 spends a significantly time on comparative advantage, so be prepared to dive right in
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


on the first day of class. A fun exercise that utilizes students‘ sports knowledge while
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


reinforcing the idea of comparative advantage is to identify other multi-sport athletes and
sw sw sw sw sw sw sw sw sw sw sw sw sw


examine their career choices. Charlie Ward, the 1993 Heisman Trophy winner, chose an NBA
sw sw sw sw sw sw sw sw sw sw sw sw sw sw


career over the NFL, Baseball Hall-of-Famer, Dave Winfield was drafted by the NBA, ABA,
sw sw sw sw sw sw sw sw sw sw sw sw sw sw


NFL, and MLB, and Hale Irwin, a 3-time U.S. Open winner and the all-time winningest player
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


on the Senior PGA tour, was a top defensive back for the University of Colorado. Deon
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


Sanders and Bo Jackson were other multi-sport stars. Byron ―Whizzer‖ White, ultimately chose
sw sw sw sw sw sw sw sw sw sw sw sw sw


a law career over an NFL career even after leading the league in rushing in 1938. White
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


eventually became a Supreme Court Justice.
sw sw sw sw sw sw




 Additional Sources sw




Throughout the course students will need to keep abreast of current events. Fortunately, this
sw sw sw sw sw sw sw sw sw sw sw sw sw


requires nothing more than access to the Internet. For each chapter this manual includes
sw sw sw sw sw sw sw sw sw sw sw sw sw sw


examples of quality Web sites that provide lots of information regarding the sports industry. For
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


the instructor, there are several additional sources that are worth considering.
sw sw sw sw sw sw sw sw sw sw sw




Film, Television, and Radio: If you like to supplement your classes with film, we recommend
sw sw sw s w sw sw sw sw sw sw sw sw sw sw


the Ken Burns series Baseball. It is divided into 18 episodes (―top of the first‖ through
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


―bottom of the ninth‖). Each one considers a different topic in the development of professional
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


baseball in the United States. Burns addresses everything from attempts to form rival leagues to
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


the history of the reserve clause to discrimination. Bill Littlefield‘s Only a Game, is an
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


informative and amusing weekly radio show appearing on National Public Radio. Check your
sw sw sw sw sw sw sw sw sw sw sw sw sw


local listings for times.
sw sw sw sw




Trade Publications: Street & Smith’s Sports Business Journal. This weekly publication provides
sw sw sw sw sw sw sw sw sw sw sw


interesting profiles of specific sports, data on attendance, articles, and commentaries on the
sw sw sw sw sw sw sw sw sw sw sw sw sw


business aspects of sports. While a normal subscription is not cheap, a far less expensive
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


semester-long student subscription is available. For more information, check their Web site at
sw sw sw sw sw sw sw sw sw sw sw sw sw


http://www.sportsbusinessjournal.com/.
sw




Podcasts: Podcasts are segments, or episodes that are organized via a digital media outlet. They
sw sw sw sw sw sw sw sw sw sw sw sw sw s w


can be listened to over the internet or oftentimes downloaded on many smartphones. Finding
sw sw sw sw sw sw sw sw sw sw sw sw sw s w


relevant and reliable podcasts can be very beneficial; two sources can be found at
sw sw sw sw sw sw sw sw sw sw sw sw sw sw


www.econtalk.org and www.freakonomics.com . A good starting point may be an interview by
sw sw sw sw sw sw sw sw sw sw sw sw sw


sports economist Roger Noll on EconTalk on August 27th, 2012. Slate magazine‘s ‗Hang up
sw sw sw sw sw sw sw sw sw sw s w sw sw sw


and Listen‘ podcast is another useful source.
sw sw sw sw sw sw sw




Academic Journals: The Journal of Sports Economics remains the ―must have‖ journal for all
sw sw sw sw sw sw sw sw sw sw sw sw sw


instructors of a course in sports economics. For subscription information, go to the Sage
sw sw sw sw sw sw sw sw sw sw sw sw sw sw


Publications Web site at http://www.sagepub.com. Other high quality, sports-themed academic
sw sw sw sw sw sw sw sw sw sw


journals with frequent economic content include International Journal of Sports Finance, Journal
sw sw sw sw sw sw sw sw sw sw sw sw


of Sport Management, Journal of Sport
sw sw sw sw sw sw

, Instructor‘s Manual for The Economics of Sports, 7th edition
sw sw sw sw sw sw sw sw


Revised and updated by Dr Qi Ge, Vassar College, New
sw sw sw sw sw sw sw sw sw sw


York, USA
and Social Issues, European Sport Management Quarterly, International Journal of Sport
sw sw sw sw sw sw sw sw sw sw


Management and Marketing, and Journal of Quantitative Analysis in Sports.
sw sw sw sw sw sw sw sw sw sw




On-line Sources: www.sportsbusinessnews.com provides good information and reactions to what is
sw sw sw sw sw sw sw sw sw sw


happening in sports from a business perspective. You can even elect to receive their ―daily dose‖
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


of sports business news. www.thesportseconomist.com is a blog written by a group of the top
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


economists in the field and consistently provides interesting economic analysis of current issues
sw sw sw sw sw sw sw sw sw sw sw sw sw


in sports.
sw sw




 Solutions to Back-of-Chapter Problems sw sw sw




1.1 Use an appropriate economic theory to explain why LeBron James might employ someone to
sw sw sw sw sw sw sw sw sw sw sw sw sw


answer his fan mail even if he can read the letters and type the responses more quickly
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


than the person he employs?
sw sw sw sw sw



Answer: If LeBron were able to answer his fan mail more quickly than someone he
sw sw sw sw sw sw sw sw sw sw sw sw sw


hires; this would imply LeBron has an absolute advantage in answering fan
sw sw sw sw sw sw sw sw sw sw sw sw


mail. LeBron is still likely, however, to have a comparative advantage in playing
sw sw sw sw sw sw sw sw sw sw sw sw sw


basketball, and therefore he should specialize in playing basketball and hire
sw sw sw sw sw sw sw sw sw sw sw


someone else to answer his fan mail.
sw sw sw sw sw sw sw




1.2 Is the following statement true or false? Explain your reasoning. ―I am attending college
sw sw sw sw sw sw sw sw sw sw sw sw sw


on a full athletic scholarship, so the opportunity cost of attending college is zero for
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


me.‖ sw



Answer: False. The student is also giving up his or her time. A prime example of this is
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


players who leave college early to enter the pros. The opportunity cost of
sw sw sw sw sw sw sw sw sw sw sw sw sw


attending college for a top basketball player is the lost chance to play in the
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


NBA.
sw




1.3 From 1946 through 1967, the placekicker for the Cleveland Browns, Lou Groza, was
sw sw sw sw sw sw sw sw sw sw sw sw


successful on 54.9 percent of his field goal attempts. In 2021, the Browns‘ kicker was
sw s w sw sw sw sw sw sw sw sw sw sw sw sw sw


Cody Parkey, who was successful on 84.6 percent of his attempts. Use the theory of
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


comparative advantage to explain the massive improvement in the Browns‘ kicking game.
sw sw sw sw sw sw sw sw sw sw sw sw



Answer: While Groza was best known for his kicking, he also played offensive tackle for
sw sw sw sw sw sw sw sw sw sw sw sw sw


most of his career. In the modern game, players are able to specialize, thereby
sw sw sw sw sw sw sw sw sw sw sw sw sw sw


improving their skills. This can result in higher field goal percentages for more
sw sw sw sw sw sw sw sw sw sw sw sw sw


recent players like Cody Parkey.
sw sw sw sw sw




1.4 The term ―figure skating‖ refers to the shapes that skaters used to trace in the ice as part
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw


of skating competitions. In the 1970s, this aspect of the sport was deemphasized and
sw sw sw sw sw sw sw sw sw sw sw sw sw sw


eventually eliminated. Use the theory of comparative advantage to show why eliminating
sw sw sw sw sw sw sw sw sw sw sw sw


this part of the competition has led skaters to perform much more difficult and
sw sw sw sw sw sw sw sw sw sw sw sw sw sw


sophisticated jumps and spins.
sw sw sw sw


Answer: The elimination of tracing figures allows skaters to specialize in other techniques
s w sw sw sw sw sw sw sw sw sw sw sw


such as jumps and spins that most fans find more exciting. It also encourages
sw sw sw sw sw sw sw sw sw sw sw sw sw sw


more athletic skaters with a comparative advantage in these skills to enter the
sw sw sw sw sw sw sw sw sw sw sw sw sw


sport. sw




1.5 Rose Lavelle is widely considered one of the best midfielders in women‘s soccer. She is
sw sw sw sw sw sw sw sw sw sw sw sw sw sw


also an effective attacker, scoring three goals in the 2019 Women‘s World Cup. Based
sw sw sw sw sw sw sw sw sw sw sw sw sw sw


on the theory of comparative advantage, what position should Lavelle play?
sw sw sw sw sw sw sw sw sw sw sw




Answer: s w Based on the theory of comparative advantage Lavelle should play midfielder.
sw sw sw sw sw sw sw sw sw sw


s wLavelle may have an absolute advantage in playing midfielder and attacker over
sw sw sw sw sw sw sw sw sw sw sw


swmany players but she clearly has the comparative advantage in midfielder.
sw sw sw sw sw sw sw sw sw sw