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Abstract: This article is a review of the seminar paper Superstar Effect in Italian Football which was written for the seminar on sports economics at the Department of Economics, University of Copenhagen and awarded the McKinsey Award in spring 2008. Only the main findings from the seminar paper will be presented here. For details and technicalities we refer to the original seminar paper Christiansen and Sievertsen (2008), which can be dowloaded at www.econ.ku.dk/nf/superstareffect.pdf. In short, superstar economics is the branch of labour economics that deals with the phenomenon of nonlinear and highly rightskewed income distributions, that is observed in certain activities. The puzzle is, that the most talented individuals in these activi ties can obtain extremely high salaries compared to their colleagues, even though they are only marginally more talented. Theoretical explanations of the puzzle are reviewed and the superstar phenomenon is analysed empirically on Italian football, where a signi - ficant superstar effect is found.

Keywords: Sports economics

JEL-codes: A10

Language: English

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