Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/175063
Authors: 
Norbäck, Pehr-Johan
Olsson, Martin
Persson, Lars
Year of Publication: 
2016
Series/Report no.: 
IFN Working Paper 1126
Abstract: 
We analyze how the Bosman ruling affected the market for star players and talent development in the European football market. We develop a model with sports competition and endogenous ownership of star players in which we show how the stiffer bidding competition over star players after the Bosman ruling has spurred talent development foremost in EU nations lacking established top clubs. This has a positive impact on their national teams' performance. However, the stiffer bidding competition has also lead to less competition in the Champions League, as non-established clubs prefer to sell their star players instead of challenging the top clubs. We provide empirical evidence consistent with these findings.
Subjects: 
Sports industry
star players
Champions League
Bosman ruling
JEL: 
J44
L50
L83
Document Type: 
Working Paper

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