Baseball Economics: Current Research

By John Fizel; Elizabeth Gustafson et al. | Go to book overview

the contribution of black players to the team's winning record. The results provide some evidence that the presence of black pitchers lowers the team's winning record. Playing time of hitters had no effect on wins. The results of an attendance regression reveal that there was customer discrimination in baseball. Although the result for hitter participation was statistically significant, the implications are inconsequential. Moreover, the level of customer discrimination is declining over time. Therefore, the hypothesis that a team owner faces a trade-off between wins and customer discrimination is not supported by the regression results. Finally, the results of the wage regression reveals an absence of negative wage differentials for black players relative to white players. The lack of salary discrimination in the relative absence of customer discrimination seems reasonable and confirms the outcomes predicted by Becker ( 1971).


NOTES
1.
This might include speed as well as superior athletic ability. In addition, this allows me to directly compare the effects of black players on attendance with the effects of black players on the team's win record.
2.
If I use separate black and white performance measures, a problem arises. Because there were and still are so few black players, an additional black player added to the roster could have significant effect on the average performance statistics, while a white player of equal ability would not have that much of an impact. Therefore, the impact of a black player's contribution would be overstated while the contribution of an equally skilled white player would be understated.
3.
The data that are gathered by the staff of Sales and Marketing Management come from both government sources and their own surveys.
4.
The Canadian teams are dropped due to insufficient market data.
5.
PBGMS: For each year and team, I add up all of the games played by black non- pitchers and divide that by the total number of games played by all non-pitchers on that team in that year. PBIP: For each year and team, I add up all of the innings pitched by black pitchers and divide that by the total number of innings pitched by all pitchers on that team in that year.
6.
That is, the percentage of games played by black non-pitchers is approximately equal to the percentage of black non-pitchers in baseball. The same is true for pitchers.
7.
I use relative measures of the team performance variables because the level of performance does not fully capture the relative standing of the team, which is measured by the team's win-lose record.
8.
The strike year was excluded from the win function because the season was split in two.
9.
I define a fixture player as one who played on the same team for six or more years.
10.
I test the model for the presence of fixed effects and reject the nonfixed effects specification. The coefficients for the team's effects in all of the regressions are not reported but are available from the author upon request.

-60-

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