Jon Chait on the Marketization of College Sports
The estimable UM graduate Jon Chait has used his New York Magazine column to weigh in on the subject of financial benefits for college athletes:
http://nymag.com/daily/intelligencer/2013/08/johnny-football-shouldnt-sell-his-autograph.html
The catalyst is Manziel's autograph-gate, and how major college sports would lose their appeal if they effectively became a minor league. He does not go into the deeper levels of possible compensation that Brian has discussed, but he does cite MgoBlog!
Note: For those who do not know, Chait is a very avid and knowledgeable UM football fan... and obviously reads the best blog.
August 23rd, 2013 at 2:02 PM ^
I dont like change, but its innevitable. As a lifelong fan of college sports that never participated at the collge level. I do not have a player perspective. I have thought deeply about how this will end up ruining the game. I have come up with the sponsorship Idea. Every team, conference to conference do a sponsorship profit share. Every team in the big can go out in the off season with their respective teams and collect sponsors. Sponsors can be registered boosters, businesses in the area, etc. They can raise the money needed to meet their cap and boom every player on each team receives their allowance mothly during the season.
August 23rd, 2013 at 2:04 PM ^
Can we avoid that today?
Maybe?
August 23rd, 2013 at 2:21 PM ^
Obama is ruining football because he hates black people!
August 23rd, 2013 at 4:14 PM ^
Everyone from Ann Arbor like Obama!! Clearly, you didn't actually go to Michigan
August 23rd, 2013 at 4:54 PM ^
I got my bachelor's from UM, but got my Ph.D. from University of Texas at Austin! Thanks a lot Obama!
August 23rd, 2013 at 2:07 PM ^
not be a popular view. I am a very casual fan of pro sports. If that is what college athletics become, I have other interests that can fill the gap.
I would support stipends for athletes on full scholarship, as long as they are available to every athlete on a full scholarship. Moving very far past that will make ticket prices, questions about what color yellow is, and who ran RR off a moot point as far as I am concerned.
August 23rd, 2013 at 4:20 PM ^
That would seem to be the "fairest" solution, but would be very, very costly. In economic terms it'd be very hard to justify giving additional compensation to athletes in non-revenue sports, and if it were required, could result in schools dropping some of them.
August 23rd, 2013 at 2:24 PM ^
Oh God. First Bacon, now Chait.
Is this "horrendous Michigan writer" day?
August 23rd, 2013 at 6:03 PM ^
Have a cup of coffee, a Pall Mall, and relax. It's Friday!
August 23rd, 2013 at 2:25 PM ^
This is one of those topics that fills me with a very deep ambivalence. I love college football and wish it would never change, but I fully recognize that it has already changed in many fundamental ways. A lot of facets of the sport just haven't caught up yet.
I'm not sure how football will change in the near or distance future, but I just know that there are going to be some seismic shifts. Between the boost in money flowing through the college sport and the looming brain trauma controversies at all levels, there's no way for things to stay the way they are. I just don't even know how I'd want it to change, let alone have any idea how it will change.
August 23rd, 2013 at 3:11 PM ^
Yep. Issues like alternate uniforms and stadium advertising will be trivial in the not too distant future, I'm afraid.
August 23rd, 2013 at 2:28 PM ^
Saying that colleges would become a "minor league" if they paid players is a bit misleading. College sports would become professional sports if they paid their players and it is quite possible given the loyalties involved that they would be as every bit as "major "as the NFL,NBA, etc.
But, thankfully, colleges do not want to field professional teams so it will never happen.
As to the marketization of college sports, it is unfortunate and probably too late to turn back now. But if I were to make a single recommendation to restore the original appeal of college sports it would be this:
-Get rid of the massive television money that has been flooding into it by taking the televised games off of private networks and put them on taxpayer funded public television instead. Sounds crazy at first but if it can be argued that the results of games involving the University of Michigan and Michigan State University are in the public interest (and I think it can) then why shouldn't these games be available to all free-of-charge and without advertisements? Instead some E$PN execs are getting rich off of the public's interest in college football.
August 23rd, 2013 at 2:29 PM ^
I'm not sure about everything he says in the article, but this statement is 100% accurate: "I can’t think of a single example anywhere in the world of a minor-league sport that even approaches the popularity of the major-league version."
I think there's a very real risk that college football is moving towards being just another minor league. When that happens, it'll be a precipitous fall back to earth for college athletic departments.
August 23rd, 2013 at 2:41 PM ^
August 23rd, 2013 at 3:11 PM ^
August 23rd, 2013 at 3:56 PM ^
Remove athletics from the college arena.
August 23rd, 2013 at 4:02 PM ^
"I'm dubious (to put it mildly) that, e.g, Bama and Auburn fans would suddenly stop caring if their players got (openly) paid. Ditto for us."
You're right, fans wouldn't stop caring if the players got paid. But the fans will be furious when those players start going on strike for an ever-increasing piece of the pie. It's a slippery slope once any compensation is allowed. And the universities really hold the upper hand because with a large pool of able-bodied young men on campus willing to play for nothing but pride, that's an ample supply of scab players. College sports is all about the jersey, not the name on the back of it.
August 23rd, 2013 at 7:07 PM ^
Players have absolutely open access to the free market in football skills. part of that market is the college game, but those graduating high school can try out for semi-pro teams if they like, and earn what the market will bear.
There is no incentive for colleges to hire professionals to play for the college, when the colleges can get amateur students to play for the price of the scholarship, facilities, coaching, etc.
That's the way the free market works, and if you really think that 19-to-22-year-old football players generate lots of money for their teams, you really should start a football team for those kinds of players.
August 23rd, 2013 at 7:50 PM ^
August 24th, 2013 at 6:46 AM ^
Sorry, you need to learn what words like "cartel" mean before you use them. The NCAA is an association. It doesn't try to influence what any other players in the market for sub-professional baseball charge or pay, and doesn't try to control supply. It is the market equivelent of a homeowner's association: "you don't have to buy a house here, but if you do, these are the rules you must follow." What you call "illicit benefits" are only illicit by the association's rules; any college could drop out of the NCAA and pay those benefits openly.
No one is forced to play college football. If someone thinks the market offers a better opportunity outside college, they can take that opportunity, and the NCAA will say and do nothing.
The fact that the free market doesn't offer players a better opportunity than the scholarships, facilities, accomodations, food, and coaching offered by college football doesn't mean that there isn't a free market.
August 24th, 2013 at 7:01 PM ^
August 25th, 2013 at 1:37 PM ^
Again, you need to learn what a cartel is before accusing the NCAA of being one. It clearly is not (as it doesn't control production or prices of anything), and no argumentum ad populum on your part makes it one.
August 23rd, 2013 at 3:18 PM ^
This was a nice, concise piece. And the point about the popularity of college sports vs. minor league sports is a good one.
August 23rd, 2013 at 3:38 PM ^
I don't know, but if I was a men's baseball, lacrosse, or cross country athlete, I wouldn't want to find out. That money comes from somewhere and I don't think it's going to be the football program (coaches, and facilities - we'll still have to compete with the SEC teams) and I don't think it's coming from Dave Brandon, NCAA adminstration, or other executive types.
August 23rd, 2013 at 3:59 PM ^
I'm sorry, but this is still a crock. 99.999% of college athletes are compensated far better than what their universities make off of them.
Plus, those athletes could not make that money without the University's legacy, support, etc.
They are getting a free $150,000 education, at least. They could potentially earn a Master's degree (ala Gardner) if they enroll early. Now we're talking a quarter million dollar education.
They are getting an invaluable internship that can lead them to lucrative careers as professional athletes, coaches, etc.
They get free clothing, free food, and a living stipend if they live off campus that far exceeds their rent.
Go ask these athletes if they feel taken advantage of. 99.999% are not - just look at Tom Brady's speech.
August 23rd, 2013 at 4:10 PM ^
...it should probably be pointed out that for many of these student athletes the value of their scholarship extends past graduation because it allows them to graduate debt-free (unlike many of their classmates).
That might not sound like a big deal but many recent graduates struggle financially and sometimes miss out on good long-term career opportunites (e.g., unpaid internships, volunteer work, etc) because they've little choice but to take the best paying jobs available to them at that time. Compared to an average student, it's very difficult to feel any sympathy for the scholarship athletes.
August 23rd, 2013 at 4:24 PM ^
Honestly, I'm just tired of this issue at this point. Yes, the current setup is unfair to the small number of superstars who actually do, individually, have market value. But there's basically zero way to compensate them without either 1) running afoul of Title IX or 2) destroying the economic structure of college sports. Life isn't fair.
August 23rd, 2013 at 6:21 PM ^
I like Chait, but I couldn't get past the fourth paragraph here. Chait cites the "purpose" of the rule as being to "prevent boosters of the programs from illicitly paying players," but teams are already buying players. All the rule does is ensure that only dirty teams buy players, giving teams like Ohio State, Alabama, Oregon, and USC a huge advantage over the rest of college football.
August 23rd, 2013 at 6:36 PM ^
The argument that the game would be less popular if players were paid is a loser. That can and should enter the equation for athletic directors and ESPN, but even if you agree with that premise, it's fundamentally wrong to base a decision on it. If players are being taken advantage of, they should be paid. If not, and their scholarship is adequate compensation, then they shouldn't.
Personally, I think athletes should be paid the full cost of attendance figure published by every university that accepts government loans as payment for tuition. There's no new metrics to publish and because it's very difficult to pad, because cost increases are a political minefield on and off campus. That money includes housing costs and provides very, very minimal living expenses.
Finally, the argument that most athletic departments lose money is a loser too. The football and basketball programs at every BCS conference school turn a profit. They go into the red because that money pays for non-revenue sports. Either way, I'd be a fan if lots of schools deemphasized sports. Universities and colleges, especially public ones, shouldn't draw student tuition money to pay for multi-million dollar programs open to only a small sliver of the general student population.