Abstract
AbstractThis paper analyzes productivity and efficiency of English professional football clubs from 1981–1982 to 2010–2011, using a random coefficient stochastic distance frontier (SDF) model. Our Bayes factor analysis indicates that this model is strongly favored over the commonly used fixed coefficient SDF model. Our empirical results show that clubs in our sample operate at different levels of technical efficiency and technical change. Our further analysis using ordered logistic regression suggests that technical efficiency is more important than technical change in predicting whether clubs in our sample are promoted or relegated.
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