The chapter examines the economics of workplace interactions, focusing on the building of effective work teams, and the particular role of coworker heterogeneity. It reviews some of the key literature pertaining to the impact on team performance of factors such as (i) productivity spillovers across teammates, (ii) heterogeneous abilities amongst teammates, and (iii) cultural diversity within a team.
Robert Simmons and Rhys Wheeler
In this chapter the authors test the ‘hot hand’ hypothesis in European football and analyze returns to simple betting rules relating to team momentum effects. They detect some evidence that the market believes in the notion of winning streaks but such beliefs are fully incorporated into bookmaker fixed-odds. In European football, it appears there is no scope for gamblers to exploit team winning streaks so as to generate profits for themselves.
Colin Green and Robert Simmons
Spectator violence is a threat to any professional sports competition as it deters attendance by fans and investment by broadcasters and sponsors. In the 1970s and 1980s, football hooliganism was associated with declining attendances at English Football League games. Since the 1980s, football attendances have shown trend increases in all divisions. Receding football hooliganism appears to be associated with growth of fan interest and team revenues in English football. This chapter analyses football banning orders and football-related arrests in a nine-season panel data-set, for England and Wales, to investigate the variations in football-related offending through time and across clubs. We consider whether the decline in football-related offences has occurred across all divisions and clubs, so the decline in hooliganism is a result of lower taste or demand for hooligan activity. Alternatively, we consider whether hooliganism has been displaced from the Premier League, where clubs have invested heavily in surveillance and stewarding, to the lower levels of the Football League, where clubs lack the financial resources to invest in prevention of hooliganism. Our empirical results imply that football hooliganism remains a serious problem for the lower divisions of the English Football League.
Leo Kahane, Neil Longley and Robert Simmons
Babatunde Buraimo, David Peel and Robert Simmons
In North America and Europe, the dominant mode of horse race betting is pari-mutuel where the operator takes a fixed commission and winners share a pool of betting money. In the United Kingdom, this betting format is known as the ‘Tote’. But unlike Europe and North America, United Kingdom bettors can choose to bet on the pari-mutuel form or at fixed-odds offered by on-course and off-course bookmakers. This raises the question, addressed in this chapter, of whether returns for winning bets are similar across both types of market. The authors investigate UK horse racing and find that returns for winning bets are superior in the pari-mutuel market, compared to fixed-odds bets, for long shots but not at short odds. The authors rationalize this finding in terms of how odds are set by bookmakers together with gamblers’ attitudes to risk, bearing in mind that the pari-mutuel sector is a more risky proposition for a gambler given that odds are unknown ex ante.