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Claremont Colleges

Labor and Employment Law

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The Estimated Value Of A Premium Division One Football Player: The Argument Supporting Pay For Play, Travis S. Roher Jan 2011

The Estimated Value Of A Premium Division One Football Player: The Argument Supporting Pay For Play, Travis S. Roher

CMC Senior Theses

Abstract

The gap between the revenue generated by division one football players and the value of an athletic scholarship is the marginal revenue product of these athletes. Because of the monopsonistic behavior of the NCAA, division one institutions capture an economic rent from their student athletes. This paper measures the rents generated by NCAA division one football players in the six powerhouse conferences by using linear regressions based on variables such as university revenue, future NFL draft picks, undergraduate population, and weekly AP Top-25 rankings. This paper will inform its readers on how much money these student athletes are generating …