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Cost Inflation in Intercollegiate Athletics: And Some Modest Proposals for Controlling It

  • William ShughartII
Chapter

Abstract

It is no secret that college sports are big business. In 2006, the latest year for which budget information is available, the biggest of America’s big-time intercollegiate athletic programs reported total revenues of $241,365,000 (National Collegiate Athletic Association 2008: 18). Set against total expenses amounting to $101,805,000 the same fiscal year, participating in NCAA-sanctioned regular season and postseason play netted the school an eye-popping $139,560,000. Even more remarkably, nearly all of the revenue credited to 2006’s top college sports program actually was generated directly by athletics-related activities, such as ticket sales, stadium concessions, alumni contributions, guarantees, conference distributions, and licensing agreements; “allocated revenue”, including direct and indirect institutional support, student fees, and other transfers from external sources accounted for only $4,530,000 or slightly less than 1.9% of the total (National Collegiate Athletic Association 2008: 21).

Keywords

National Collegiate Athletic Association College Football College Sport Intercollegiate Athletic Athletic Department 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

Notes

Acknowledgments

The author would like to thank Michael Reksulak, a student of mine who is now a valued member of the economics faculty at Georgia Southern University, who provided help that went above and beyond mere “research assistance”. Thanks also to Joshua Hall, Michael Belongia, and Robert Tollison for useful comments and suggestions on an earlier draft. As is customary, though, I take full responsibility for the final product.

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Copyright information

© Springer New York 2010

Authors and Affiliations

  1. 1.University of MississippiOxfordUSA

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