The paper identifies key changes in the betting environment that have raised risks to the integrity of sport. The risks are discussed in the context of a model where potential fixers evaluate the costs and benefits to them of engaging in manipulation of events on the field for betting gain. Using this framework, particular markets and situations are indicated as especially susceptible to corruption and these predictions appear to be consistent with the set of cases that have been exposed in contemporary sport. Possible policy responses are discussed.
BernhardtD., & HestonS. (2006, September). No foul play: Honesty in college basketball. Working paper. Retrieved June 30, 2008, from http://ssrn.com/abstract=1002691
2.
DeschampsB., & GergaudO. (2007). Efficiency in betting markets: Evidence from English football. Journal of Prediction Markets, 1, 61–73.
3.
EhrlichI. (1996). Crime, punishment and the market for offences. Journal of Economic Perspectives, 10, 43–67.
4.
ForrestD., McHaleI., & McAuleyK. (2008).Risks to the integrity of sport from betting corruption. London: Central Council for Physical Recreation.
5.
ForrestD., & SimmonsR. (2003). Sport and gambling. Oxford Review of Economic Policy, 19, 598–611.
GunnG., & ReesJ. (2008).Environmental Review of Integrity in Professional Tennis. London: International Tennis Federation.
8.
PatonD., SiegelD., & Vaughan WilliamsL. (2002). A policy reference to the e-commerce revolution: The case of betting taxation in the U.K.Economic Journal, 112, 296–314.
9.
PatonD., SiegelD., & Vaughan WilliamsL. (2004). Taxation and the demand for gambling: New evidence from the United Kingdom. National Tax Journal, 57, 847–862.
10.
PrestonI., & SzymanskiS. (2000).A blueprint for cricket. Working paper. Imperial College, London.
11.
SandyR., & SloaneP. (2004). Why do US colleges have sports programs? In J. Fizel & R. Fort (Eds.),Economics of college sports. Westport, CT: Praeger.
12.
Swiss Institute of Comparative Law (2006).Study of gambling services in the internal market of the European union. Lausanne, Switzerland: Swiss Institute of Comparative Law.
13.
StrumpfK. (2003).Illegal sports bookmakers. Working paper.
14.
University of North Carolina at Chapel Hill.
15.
SzymanskiS. (2003). The economic design of sporting contests. Journal of Economic Literature, 41, 1137–1187.
16.
WinterS., & KukukM. (2008). Do horses like vodka and sponging? On market manipulation and the favourite-longshot bias. Applied Economics, 40, 75–87.
17.
WolfersJ. (2005). Point shaving: Corruption in NCAA basketball. American Economic Review, 96, 279–283.
