Is There Racial Discrimination Within the NBA?: A Quantitative Content Analysis Based on Empirical Analysis

Is There Racial Discrimination Within the NBA?: A Quantitative Content Analysis Based on Empirical Analysis

Lina Xiao
Copyright: © 2021 |Pages: 28
DOI: 10.4018/IJOCI.2021040101
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Abstract

The paper empirically investigates the determinants of salaries and playing time for NBA players, especially aiming to re-examine the existence and trend of racial discrimination on players' wages. This study employs the technique of multiple regression model and the Oaxaca decomposition based on the most recent unbalanced panel data set consisting of 767 White players and 1,234 Black players with a total of 13,372 player-year observations from 1984 to 2019 NBA seasons. The empirical conclusions suggest that Black players seem to receive a higher salary and more playing time than that of their White counterparts, ceteris paribus, indicating the existence of racial discrimination within NBA. Additionally, in contrast with findings of previous literature, racial wage bias persists even becomes more severe over time according to the regression analysis. Furthermore, Oaxaca technique shows that NBA player characteristics such as education, height, positions, and so on indeed play roles in determining players' wages, but these premarket factors only account for a small percentage of salary gaps between Black and White players while the majority part of their salary differences is explained for racial discrimination.
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1. Introduction

1.1. Overview

This section investigates the context for the racial discrimination phenomenon within the NBA from 1984 to 2019 seasons. The section includes the background, the purpose and significance of the study. Research questions are introduced and data and methodology are briefly described. Then, some concise results are provided.

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