4.20.2011

Snippets: The Sports Edition

Welcome to Snippets, Blawgconomics' semi-regular attempt at covering a lot of topics from the worlds of law, economics and politics in a little time. Some would call this lazy; economists prefer the term 'efficient.' In this edition of Snippets we will be focusing on the business side of sports. We have covered sports stories many times in the past; aside from being a passion of Blawgconomics, the sports world is also one of the great intersections of both the legal and economic worlds.

- We will kick off this edition with a stunning revelation that could explain the subsequently cursed lives of the teams at the center of it. There is apparently some evidence that the fix was on in the 1918 World Series. Though the sporting gods subsequently forgave the Boston Red Sox (albeit after a substantial punishment) Chicago Cub fans may still be suffering for the sins of the 1918 squad. This is clearly a topic that hits close to home on both the legal and economic fronts; an argument could probably be made that its impact on the sanity of Chicagoans and Bostonians gives it a link to the healthcare debate as well.

- Any fan of international soccer, particularly English football, will find Roger Bennett's recent piece on ESPN.com fascinating. In 'EPL is as American as Apple Pie,' Bennett explores the upsurge in Americans buying majority stakes in Premier League teams. You don't need to be a fan of the beautiful game to enjoy this one however as there are connections to basketball, the NFL and baseball as well. Be sure to check out the explanation of 'average revenue multiples' if things like valuation methods especially tickle your fancy.

Faces only a fan could love...Meet the American owners of Arsenal and Liverpool

- Staying on soccer for the moment, Blawgconomics would like to wholeheartedly endorse a book we recently had the chance to read. 'How Soccer Explains the World: An Unlikely Theory of Globalization' by Franklin Foer has decidedly mixed reviews on Amazon, and having the word 'globablization' in the title is never entirely justified. However, for an entertaining read which jumps seamlessly from the break up of the Balkans to the modern state of the Unionist v. Separatist issue in the UK, all set upon a background of sport, this is a great read.

- Next up, ESPN The Magazine comes in with a trio of entries from its upcoming 'money' issue:

- First off, The Mag provides a list of the best paid athletes in 30 different sports. Lessons include the fact that those with dreams of joining the female bowling circuit shouldn't necessarily quit their day jobs.

- Next is a list of the 200 best-paying teams in the world. In other words, if you manage to ink a deal with one of these squads, even if you are the last player off the bench, you are likely in the top tax bracket of every nation on earth.

- Rounding out the trio of 'money issue' entries is a list of the highest paid athletes from each country. Though a select few nations apparently have no professional athletes to speak of, there is info on over 180 others. A special note must be made of the poorest-paid player on the list; Nepalese soccer player Santosh Sahukhala makes under $9,000 per year. However, considering the annual per capita income of his countrymen is less than $500, maybe that isn't so bad. Honorable mention goes to Misdongarde Betoligar of Chad who makes a shade over $21,000 per year.

- A compilation article on various sports-related business topics wouldn't be complete without something on the NFL lockout, would it? New England Patriot Matt Light has the latest in this audio clip from our favorite hometown radion station, WEEI in Boston. In addition, this Rick Reilly piece is worth a read if for no other reason than we often find ourselves disagreeing with every word he says. This happens to be no exception; in a job market with double digit real unemployment, Blawgconomics just can't seem to be able to get up the same sympathy for any of the parties involved as Mr. Reilly does. Color us uncompassionate.

- Over at one of our favorite sites, the appropriately named Sports Biz, Darren Rovell has an interesting piece on the Madden football cover. Going beyond the typical fluff piece on the 'curse' the cover of the EA Sports video game typically bestows upon the athlete gracing it, Rovell explores the unique process used to pick the next model and the implications that could have for sales of the game.

- Finally, and staying with the CNBC-hosted site Sports Biz, Rovell gives a breakdown on recent legal troubles in the online poker world.

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