On the endogeneity of the pay-performance relationship in professional soccer

& Schmidt, Sascha (2010) On the endogeneity of the pay-performance relationship in professional soccer. The Empirical Economics Letters, 9(6), pp. 540-544.

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Description

In this reply we show that the Nüesch (2009) comment paper to our initial contribution (Torgler and Schmidt 2007) has several shortcomings. He suggests that professional soccer wages seem to buy talent rather than motivation. We therefore provide a larger set of talent proxies and estimations to check whether this assertion is correct. Our results indicate that his conclusion is problematic. We still observe a strong motivational effect, and in some cases the effect is even larger than the talent effect. A further key problem in Nüesch’s contribution is the fact that he neglects to consider the relevance of the relative salary situation.

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ID Code: 38119
Item Type: Contribution to Journal (Journal Article)
Refereed: Yes
ORCID iD:
Torgler, Bennoorcid.org/0000-0002-9809-963X
Measurements or Duration: 5 pages
Keywords: Endogeneity, motivational effects, professional soccer, talent effect
ISSN: 1681-8997
Pure ID: 32210183
Divisions: Past > QUT Faculties & Divisions > QUT Business School
Current > Schools > School of Economics & Finance
Copyright Owner: Copyright 2010 Empirical Economic Letters
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Deposited On: 22 Oct 2010 01:16
Last Modified: 10 Mar 2024 11:58