Wednesday, April 1, 2020

Literature Review 4



Picture of NCAA headquarters and hall of champions.

Watkins, Boyce. “A Scholarship Is Nice, but College Athletes Should Still Be Paid.” Bleacher
            Report, Bleacher Report, 2 Oct. 2017, bleacherreport.com/articles/36519-a-scholarship-
            is-nice-but-college-athletes-should-still-be-paid.

Dr. Boyce Watkins is essentially responding to an article written by Michael Collins, who thinks a scholarship is enough for a student-athlete. Watkins believes student-athletes should be paid and that the NCAA is a money hungry and corrupt organization. The article presents us with some arguments made by the NCAA on why they cannot or will not pay student-athletes. Not being able to afford paying student-athletes and protecting them and their families are just two of many arguments mentioned. Watkins is a finance professor at Syracuse University, and he is a faculty member at the College Sports Research Institute at the University of North Carolina Chapel Hill. He is an advocate for student-athlete rights and has voiced his opinion on paying student-athletes on media channels such as CNN, ESPN, and CBS Sports.

Two terms from the article.
1. Open market system - is an economic system with no barriers to free-market activity. Anyone can participate in an open market, which is characterized by the absence of tariffs, taxes, licensing requirements, subsidies, unionization, and any other regulations or practices that interfere with naturally functioning operations.
2. Title IX - a federal civil rights law passed as part of the Education Amendments of 1972. This law protects people from discrimination based on sex in education programs or activities that receive Federal financial assistance. 
        With more research, I looked on to the NCAA website and found from the source how Title IX applies to student-athletes. It reads as followed, 
"Athletics programs are considered educational programs and activities. There are three basic parts of Title IX as it applies to athletics:
        
Participation: Title IX requires that women and men be provided equitable opportunities to participate in sports. Title IX does not require institutions to offer identical sports but an equal opportunity to play;
         
Scholarships: Title IX requires that female and male student-athletes receive athletics scholarship dollars proportional to their participation; and

Other benefits: Title IX requires the equal treatment of female and male student-athletes in the provisions of: (a) equipment and supplies; (b) scheduling of games and practice times; (c) travel and daily allowance/per diem; (d) access to tutoring; (e) coaching, (f) locker rooms, practice and competitive facilities; (g) medical and training facilities and services; (h) housing and dining facilities and services; (i) publicity and promotions; (j) support services and (k) recruitment of student-athletes."

Three quotes from the article.
1. “Commentators and even the NCAA president earn millions from holding games in which they don’t even participate.”
2. “The truth of the matter is that the system is a carefully-designed web of laws and rules that constrain one group and force them to serve another group’s financial interests – not unlike a Chinese sweatshop”
3. “The fact that one set of operating rules exists for coaches and another exists for players implies that the system is structured and legislated to allow one group to profit handsomely from the labor of another.”
The material helps me dig deeper into arguments I have already came across along with new view points. This was the first time coming across the Title IX and cross-campus subsidization argument and it could be the counter argument in my final paper. 

Literature Review 3



Sanderson, Allen R., and John J. Siegfried. 2015. "The Case for Paying College
            Athletes." Journal of Economic Perspectives29 (1): 115-38.

Allen R. Sanderson talks about the revenue made yearly by the NCAA and the universities within its control. It goes into detail providing charts and “Disclosures of lucrative financial dealings for the NCAA (pg 116).” The article does a great job and underlining the “restrictions” put on student-athletes along with a bases of how they all eventually became to play a big part in saving them a fortune because they limit how much the student-athlete can gain. Lastly it brings up some reasons why the NCAA does not want to change their policies regarding paying student-athletes which I will discuss further in my paper. Sanderson is a senior economics professor at the university of Chicago and has been said to be an authority on sports economics issues by the university. John J. Siegfried, also a professor in economics at the university of Vanderbilt. One of his specialties is sports economics. Both authors are highly qualified experts on my topic and are highly respected by their universities, and the sports media world.  

Two key terms.

Student-athlete which is a person who in enrolled and plays a sport at a university. The other is monopsony power and this exists when a single buyer or an association of buyers can dictate the prices they pay to suppliers or control other aspects of the relationship that exists between themselves and their suppliers.
Three quotes.
“The median head football coach among the 126 Football Bowl Subdivision institutions earned $1.9 million in 2013; the comparable head basketball coach’s salary was $1.2 million” pg 115
“In 2013, the median annual revenue generated at the 126 largest (Football Bowl Subdivision) programs from football was $20.3 million and from men’s basketball $5.6 million” pg 118

“But the NCAA and its members collectively fix college athletes’ wages. Student-athletes appear to be the only category on a campus where an outside organization (the NCAA) is granted power to dictate compensation and hours of work” pg 124
The material helped dive into the root of the issue of paying student-athletes which is money. It breaks down how much is made, the restrictions put in place, and the possible outcome if 
student-athletes were paid. It also gives statistics which will contribute to making my paper better.