What is it about?
We show how performance-enhancing drug testing improved the competitive balance of MLB by tracing out its effects on franchise values, team profits, revenues, and player costs.
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Why is it important?
Our work takes a holistic approach to modeling how the decisions teams make with regard to roster construction were impacted by PED use and their broader impact on MLB as a whole. This cost-benefit analysis of PED testing reveals that MLB was largely positively affected by PED testing, but also that there remain areas of the testing policy that could be improved.
Read the Original
This page is a summary of: The Competitive Effects of Performance-Enhancing Drugs: MLB in the Posttesting Era, Journal of Sports Economics, December 2018, SAGE Publications, DOI: 10.1177/1527002518817584.
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