Topic 8: Incentive Compensation in Sports

Some Motivating Questions:

1.  Do professional sports lend themselves to the use of incentive-based pay for athletes?  Why or why not?  Does it also make sense for coaches to get incentive pay?

2.  Are there examples of the successful use of incentive pay in sports?  Are there examples of the misguided use of incentive pay in sports?

3.  What have labor economists recently found in research on incentive pay, applied to sports or otherwise?