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| Koji Yashiki and Yoshiyuki Nakazono |
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| ''Moneyball revisited: Some counter-evidence'' |
| ( 2024, Vol. 44 No.2 ) |
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| This study revisited the Moneyball hypothesis to address the potential bias that should
have been addressed in previous studies. Basic economic theory suggests an exact corre-
spondence between pay and productivity when markets are competitive and information-
rich, while it is difficult for researchers to provide empirical evidence on the correspondence
between pay and productivity in the real labour market. By measuring the productivity of
professional baseball players more closely, we found that after the publication of Moneyball,
slugging average, which is widely accepted as one of the most common measures of batting
skill, had the dominant effect on winning relative to the factors that Moneyball considered
important. After Moneyball was published, slugging average was undervalued in determin-
ing payrolls. The evidence against Moneyball suggests that payrolls may have become less
efficient than they were before Moneyball.
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| Keywords: baseball statistics, labor market, Moneyball, productivity, wage efficiency |
JEL: J3 - Wages, Compensation, and Labor Costs: General
Z0 - Other Special Topics: General |
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| Manuscript Received : Mar 07 2024 | | Manuscript Accepted : Jun 30 2024 |
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