Revenge of the Nerds

Great new report out by The Economist about earnings for college graduates. It's a great piece to include for an economics program in every university because they break it down by degree area. If your university is heavily weighted to one area than narrow down the results to that degree.

In 1972 a university-educated man aged 25-34 could expect to earn 22% more than a peer without a degree, according to the Urban Institute, a think-tank. Today that premium has risen to 70%.

Here are the result for business/econ majors:

Ranked Nationalities Gets Help From the Toronto Star

I'm on the cusp of submitting my first research article to the Journal of Sports Economics, and came across an article in the Toronto Star from October 28, 2012 regarding the foiled attempt by Major League Soccer to sign Swedish superstar Olof Mellberg. Toronto and Mellberg came to an agreement that the Swedish defender would play for Toronto (one of the least successful teams this year) for $3 million over 2 years. Once submitted to the league, it was rejected because the league is in charge of all player's salaries and felt that it's best to consider the longterm health of the league when signing designated players.

Reporter Cathal Kelly believes that if finical reasons weren't to blame, it had to be for two other possible reasons. Mellberg is a Swede, who appeals to none of MLS's ethnic target markets or because he's a defender and not a flashy forward. The belief still follows that the league must not find Swedish players marketable to the MLS audience, which is exactly the finding I investigated when examining ranked nationalities. Only the top countries in Europe received wage premiums relative to their English counterparts, which suggests that owners/fans prefer (and our willing to pay for) players from England, Germany, Italy, or France for example, but not "lower tiered Europeans" like the Swedes.

What convenient timing for my research and poor timing for Olof.