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Mixing the princes and the paupers: Pay and performance in the National Basketball Association

Simmons, Robert and Berri, David (2011) Mixing the princes and the paupers: Pay and performance in the National Basketball Association. Labour Economics, 18 (3). pp. 381-388.

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    Abstract

    We investigate how team and individual performances of players in the National Basketball Association respond to variations in intra-team pay inequality. By breaking down team dispersion into conditional and expected components, we find that expected pay dispersion has a positive effect on team and individual performance. We find that team and individual performances are essentially orthogonal to conditional pay inequality, counter to the hypotheses of fairness and cohesion proposed in the literature both for sports and general occupations. A change in collective bargaining regime in 1996 had little impact on either team or player productivity.

    Item Type: Article
    Journal or Publication Title: Labour Economics
    Uncontrolled Keywords: Pay inequality ; Productivity ; Basketball
    Subjects: H Social Sciences > HB Economic Theory
    Departments: Lancaster University Management School > Economics
    ID Code: 56353
    Deposited By: ep_importer_pure
    Deposited On: 30 Jul 2012 11:28
    Refereed?: Yes
    Published?: Published
    Last Modified: 17 Sep 2013 08:35
    Identification Number:
    URI: http://eprints.lancs.ac.uk/id/eprint/56353

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