Wednesday, April 1, 2020

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.

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