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Journal of Sports Economics
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Technical Efficiency in the Major League Soccer

Dieter J. Haas

University of Innsbruck, Austria

Taking data for the year 2000 season the technical efficiency of soccer teams in the Major League Soccer is measured by Data Envelopment Analysis (DEA). The inputs used by the teams are approached by the variables players' wage bill and wage of the head coach. Output is measured by points awarded, absolute number of spectators, and revenues. Efficiency scores are highly correlated with performance in the league, and when decomposing inefficiency into technical inefficiency and scale inefficiency it can be shown that the largest part of inefficiency can be explained by suboptimal scale of production.

Key Words: efficiency • soccer • Major League Soccer • DEA

Journal of Sports Economics, Vol. 4, No. 3, 203-215 (2003)
DOI: 10.1177/1527002503252144
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