Salary Caps and Luxury Taxes: Insights from Professional Team Sports (Gehaltsobergrenzen und Luxussteuern: Erkenntnisse aus dem professionellen Mannschaftssport)
18 Pages Posted: 2 Dec 2010
Date Written: November 15, 2010
The regulation of executive pay currently is a topic widely discussed in politics and the media. In this contribution we analyze a sector with a long tradition of pay regulation: professional team sports. We provide an analysis of the most important regulatory practices and their consequences on the labor markets of professional athletes, teams’ financial situation, and sports competition. Further we sketch how similar practices could look in the context of executive pay regulation.
Notes: Downloadable document is in German.
Keywords: Pay regulation, salary caps, luxury taxes, sports economics, professional sports leagues, regulation, labor market intervention
JEL Classification: L83
Suggested Citation: Suggested Citation