Explain the benefits of breaking up pro sports leagues. Would you favor a breakup? Justify your...
Explain the benefits of breaking up pro sports leagues. Would you favor a breakup? Justify your answer (remember to discuss winners and losers).
Homework Answers
It is important to eliminate the monopoly power of the pro sports league. Such action would eliminate the source of revenues that provide for high player salaries & also would do away with the lack of competitive balance in a league due to disparity in drawing potential among league teams. The ultimate goal is to transfer power from insiders, owners, players alike to the outsiders, fans & taxpayers. For this purpose, it is advisable to break the existing leagues like American league & national league & national league in baseball, the national basketball league, the national football league & national hockey league along conference division lines & make each of them a separate new league.
Considering the benefits, I would favor the breakup of pro sports league as it eliminates monopoly power & distributes the power equally.
The winners in this case would be fans & outsiders as they get the power to make decisions & the losers will be insiders & owners who due to monopoly may dominate & misuse their power.
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