Managerial Efficiency in German Top League Soccer: A Stochastic Frontier Analysis of Club Performances on and Off the Pitch
31 Pages Posted: 12 Mar 2003
Date Written: February 2003
This study applies stochastic frontier analytic techniques in the estimation of sporting production functions. As ex ante input factors, we use pre-seasonal estimates of wage bills of players and coaches that are transformed during the production process of a season into ex post pecuniary revenues and sporting success. While in the case of athletic output we find a robust pattern of technical efficiency over subsequent seasons, the estimates based on economic output highlight the instability of the German soccer industry.
JEL Classification: L83, C21, D24
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