Dispersion and persistence in the competitive balance of North American major leagues 1960–2019

Abstract

PurposeThis paper focuses on the proliferation of empirical measures of competitive balance arising from its multi-dimensionality (i.e. win dispersion versus performance persistence), and the increasing complexity and specificity of league structures. This has led to significant inconsistencies in the assessments of competitive balance, rendering it difficult to derive policy recommendations.Design/methodology/approachThe authors extend previous empirical studies of the four North American major leagues (i.e. MLB, NFL, NBA and NHL) using six competitive balance measures to (1) compare changes in competitive balance over the period 1960–2019; (2) to investigate the degree to which win dispersion and performance persistence move in the same direction; and (3) to explore the extent to which competitive balance has changed across facility construction eras and regulatory regimes.FindingsThe authors find that the assessment of competitive balance is both metric-dependent and time-dependent, reinforcing the importance of using a portfolio of measures rather than a single metric. The findings also highlight the importance of understanding the dispersion-persistence relationship.Originality/valueThe authors stress that leagues must be aware of a potential dispersion-persistence trade-off when intervening to improve competitive balance.

The competitive balance of UEFA and CONMEBOL football leagues: On managing the number of teams in league design

“…The measurement of competitive balance is subject to various approaches and metrics (Evans, 2014; Ramchandani et al, 2018). In our case, we have focused on measuring it within different leagues (albeit across several seasons) rather than on dominance or persistence over time (Gerrard & Kringstad, 2023). Traditionally, inequality and concentration measurements have been used interchangeably to gauge competitive balance.…”

“…Competitive balance is a multidimensional concept, and its measurement, typically carried out using a set of measures and not just a single metric, is subject to various approaches. One such approach (Ramchandani et al, 2018) distinguishes between (i) measurement within a league, even when carried out across repeated seasons, which is tied to concentration indices, and (ii) measurement over time, termed dominance (with contributions from Ramchandani, Plumley, Mondal and Wilson) or persistence (Gerrard & Kringstad, 2023). In the first case, within‐season, a monopoly configuration is not feasible, as the bilateral nature of matchups ensures that no single team can monopolise all the points.…”

“…Evans (2014) offers various examples of relevant indices. Gerrard and Kringstad (2023) emphasise the importance of understanding the relationship between these two facets of analysis. In this paper, we undertake a within‐season analysis across multiple seasons; hence, we will use measures related to result concentration.…”