1. Compare and contrast sportsman and Steinbrenner effects in the operation of MLB clubs. How can the use of debt affect agency effects in general and the Steinbrenner effect in particular? Show exactly how an LBO works and why financial economists think they are efficient. Discuss the implications of agency effects for MLB ownership since 1980. What is the empirical evidence of sportsman and agency effects from ownership transfers over the free agency period. Specifically relate these effects to the fortunes of Chelsea and Leeds United in the English Premier League since 2000.

2. Discuss sports league formation, expansion and franchise relocation with respect to rival leagues and non-duplication of existing markets. Explain how rival league and dual market theory explain the detailed expansion and relocation histories of both the NFL and MLB up to the AFL-NFL merger. Discuss how revenue sharing changes the expansion decision. In this light, compare the theory of stadium extortion in the NFL and MLB. Discuss the Raiders case and the validity of Art Modell's statement that franchise free agency "occurred in court." Analyze in detail the extortion game associated with the NFL expansion of 1995.