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Customer Racial Discrimination In The Professional Sports Card Market: The Case Of League Majority Versus Minority, Tyler Forrest
Customer Racial Discrimination In The Professional Sports Card Market: The Case Of League Majority Versus Minority, Tyler Forrest
University Avenue Undergraduate Journal of Economics
Previous research finds that customer racial discrimination decreases the price of a non-white baseball player’s card but does not decrease the price of a non-white basketball player’s card. This paper seeks to examine if racial minority or league minority affects the value of a trading card. Using disaggregated player performance data from 1977 we explore this question with baseball cards (in which non-white players are the league minority) and basketball cards (in which white non-players are the league majority). Using Tobit regressions, we find that customer discrimination exists against non-white players in both baseball and basketball leagues.