Abstract
Prior work has identified welfare problems with monopoly sports leagues that are not governed by a residual claimant: In addition to standard effects of allocative and distribute inefficiency, these leagues often reach sub-optimal results because of bargaining costs and information problems that distort the results because of a governance structure reflecting parochial stakeholder interests. This paper hypothesizes that leading sports law cases can be viewed as strategic attempts to overcome information and bargaining costs to improve upon sub-optimal league decisions and facilitate efficient ones. A case study approach is used to identify different ways in which litigation can be used in this manner.
Original language | English (US) |
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Pages (from-to) | 644-654 |
Number of pages | 11 |
Journal | Managerial and Decision Economics |
Volume | 38 |
Issue number | 5 |
DOIs | |
State | Published - Jul 2017 |
All Science Journal Classification (ASJC) codes
- Business and International Management
- Strategy and Management
- Management Science and Operations Research
- Management of Technology and Innovation