Contributions in Merlin

We empirically compare the performance of female and male team managers. We find that female team managers never perform worse than male team managers and that females work under significantly worse conditions than males. Additionally, we find that specialized experience has no influence. Special- 1 ized experience means having worked previously as an employee in the same industry. Our dataset consists of female and male managers in women soccer leagues acroos countries, viz., France, Germany, and Norway. Managers in team sports usually have exactly the same tasks (selection, coordination, and motivation of team members) as team managers in other industries. The limited number of women in top management positions in some of these industries and the lack of available data do not often allow comparisons. Our study, which includes a fair number of female team managers and a clear measurement of performance, can help understanding stereotypical behaviors. Therefore, our results have important implications for industries, companies, and clubs who oppose employing female team managers.

This article develops a game-theoretical model to analyze the effect of subsidies on player salaries, competitive balance, club profits, and welfare. Within this model, fan demand depends on win percentage, competitive balance, and aggregate talent. The results show that if a large market club receives a subsidy and fans have a relatively strong preference for aggregate talent, compared to competitive balance and own team winning percentage, club rofits and welfare increase for both clubs. If the small-market club is subsidized, a small subsidy increases competitive balance and player salaries of both clubs.

We study how temporal separations affect recurring decision-making under risk and thus ask when reference points update. Using both experimental and panel data from a casino, we analyze how individual risk-taking behavior during a casino visit depends on the outcomes of temporally separated prior visits. Our results show that small prior gains lead to more risk-averse behavior in the next visit, but small prior losses have no effect on subsequent risk-taking. These results suggest an asymmetric temporal effect of small prior gains and losses, whereby gains affect subsequent choices for longer than losses. Thus, the reference point — which determines subsequent risk-taking behavior — updates much faster after small losses than after small gains. Further, we find that risk-taking greatly depends on the size of prior outcomes. Whereas large prior losses also impact subsequent choices and strongly reduce risk-taking, large prior gains only have a marginal effect, if any.

Football is a low-scoring sport in which a few single moments can change the result of an entire match, regardless of what else happened during the 90 minutes on the field. Thus, random forces can have a substantial influence on match outcomes. However, decision makers in European football clubs often rely heavily on recent match outcomes when evaluating team performance, which can lead to systematic misjudgments. In this paper, we propose a complementary approach for performance evaluation aimed at enabling decision makers to substantially mitigate the tendency to overlook the influence of randomness in match outcomes. We build upon the concept of expected goals based on quantified scoring chances and develop a chart that visualizes situations in which a team's true performance throughout a sequence of matches likely deviates from the performance indicated by match outcomes. The insights provided by the chart can systematically alert decision makers of professional football clubs about sensitive situations and should prevent clubs from making flawed decisions when match outcomes are overly biased due to the influence of random forces.

UEFA’s Club Licensing and Financial Fair Play Regulations impacted on European club football. After five distinct applications of the break-even requirement, which represents the cornerstone of these regulations, it is time for an assessment. How has the situation in European top-division football changed since the FFP regulation? The most recent financial data show that European club football is characterized by significant financial recovery and further polarization. How has the FFP regulation presumably affected this development? This article discusses plausible reasons why FFP has contributed to financial recovery but has not aggravated polarization. Understanding the drivers of polarization is essential before taking further regulatory steps.

Researchers in academia typically perform different tasks: research, teaching and services to the scientific community. We analyze the opportunity costs in terms of a potentially reduced publication productivity associated with becoming a dean in the German institutional setting where deans are non-professional expert-leaders who temporarily take the dean position. Theoretically, we distinguish between two different effects that relate deanship and publication productivity: a resource effect where publication productivity during and – as a result of potentially having developed a taste for service –also post deanship decrease as a result of a reduction of the available time for research and a self-selection effect where pre-deanship publication productivity is lower than that of peers who are not about to become dean. Based on a dataset of 1,110 business and economics researchers from German-speaking universities, we find evidence for a resource effect with leadership in academia reducing research productivity during and also post deanship. We find no evidence of a negative self-selection effect in the sense of less successful researchers being more likely to take the position of a dean. Reduced research productivity during and post deanship as compared to those researchers that never became dean is driven by those researchers who become dean in later periods of their career, i.e., presumably by those who deliberately shift their focus away from research and towards a stronger engagement in the scientific community in their late career years. Early career deans, on the contrary, seem to see their deanship more as a transitory role and are able to compensate the reduced resources during deanship, and they also do not suffer from a reduced publication productivity post deanship.

We examine whether the moment just before the halftime break is a particularly good time to score a goal. Using detailed data from the top five European football leagues between the 2013/14 and 2017/18 seasons, we exploit the quasi-random occurrence of goals scored just before and just after the halftime break. In the former situation, the game is exogenously inter-rupted by a break immediately after the goal, whereas in the latter situation, the game continues without interruption. We show that in the case of a goal being scored just before halftime, the scoring team benefits more from the halftime break than the conceding team.

Does the impact of international Public Company Accounting Oversight Board (PCAOB) inspections extend beyond country borders of inspected auditors? We investigate this question by examining multinational business groups. Following initial PCAOB inspections of accounting firms auditing foreign U.S.-listed global ultimate owners, our findings indicate that their international subsidiaries decrease earnings management. Research design choices such as the comparison of treated observations with same country-industry-year control observations and a fixed effects structure that controls for country, industry, year, and group characteristics mitigate concerns of omitted variables. Our paper provides evidence for benefits of international PCAOB inspections over and above the previously documented effects for firms located in the countries of the inspected auditors.

In this paper, we examine how the number of African American and White American coaches in college basketball evolved since 1947. Particularly, we focus on 1973 when the league split up. The separation created asymmetric regulatory requirements. This led to a significant difference in the number of African American coaches. The evidence suggests that less regulated institutions employ fewer African American coaches. The results are time consistent, not clustered geographically, and unrelated to specific institutions. Our results have policy implications for college sports as well as other industries which have similar working conditions.

Risk transfer is a key risk and capital management tool for insurance companies. Transferring risk between insurers is used to mitigate risk and manage capital requirements. We investigate risk transfer in the context of a network environment of insurers and consider capital costs and capital constraints at the level of individual insurance companies. We demonstrate that the optimisation of profitability across the network can be achieved through risk transfer. Considering only individual insurance companies, there is no unique optimal solution and, a priori, it is not clear which solutions are fair. However, from a network perspective, we derive a unique fair solution in the sense of cooperative game theory. Implications for systemic risk are briefly discussed.