Miquel Carreras and Jaume Garcia

The recently signed TV deals by the English Premier League and LaLiga imply that income from TV rights are expected to increase significantly in both football championships. We analyzed the impact of these revenue increases in terms of the effect on financial inequality. We conclude, and provide empirical evidence, that the expected financial imbalance between clubs will suffer an increase in absolute terms, but a decrease in relative terms for both competitions. The aim of this paper is to measure the effect of the new TV deals on the competitive balance of these championships. We...Read more

Augusto Cerqua

This paper addresses an important question on the consequences of relegation from some of Europe’s top football leagues: What is the team’s performance following relegation, compared to the situation without relegation? We compare the performance of relegated and non-relegated teams that battled until the last match to escape relegation in four large European leagues. We find that, on average, up to six seasons are necessary to completely reabsorb the negative relegation shock in sports outcomes. Additionally, we exploit current information on future TV rights revenues to forecast the...Read more