Football economics
aspect of sports economics
Football economics is the discipline of economics focused on its relationship to association football, also known as soccer in the U.S. This field examines the economic complexities and peculiarities of professional football. Professional football is a significant subject of economic analysis, drawing interest from academic researchers since the mid-1950s. This field examines various aspects, including competitive balance, player salaries, the transfer system, and the economic impact of major events.
FIFA, football's world governing body, generates substantial revenue, primarily from selling TV broadcast rights for tournaments like the World Cup. In the 2015-18 cycle, FIFA earned $6.4 billion, with $4.6 billion from TV rights, and for 2019–2022, revenue reached a record high of US$7.57 billion, with broadcasting rights accounting for US$3.426 billion. Other significant revenue streams include marketing rights (US$1.66 billion in 2015–18, US$1.795 billion in 2019–22), ticket sales and hospitality (US$712 million in 2015–18, US$949 million in 2019–22), and licensing rights (US$180 million in 2021, US$769 million in 2019–22). FIFA also covers considerable costs, such as prize money ($440 million total for Qatar 2022) and expenses for World Cup host countries. Hosting the World Cup involves massive expenditures for the host nation; Qatar's preparation for the 2022 tournament, including infrastructure like stadiums, was estimated to cost as much as $220 billion, significantly more than Russia spent in 2018.
More recently, Saudi Arabia has become a major financial force in global football as part of its Vision 2030 plan for economic diversification, with the Public Investment Fund (PIF) acquiring stakes in clubs like Newcastle United and four major Saudi Pro League teams. This has led to significant spending on high-profile international players and a substantial increase in the Saudi Pro League's revenue and global profile, although it has also attracted criticism, including allegations of "sports washing".
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This entry incorporates text from “Football economics” on English Wikipedia. Contributors are listed in the page history. Text is available under the Creative Commons Attribution-ShareAlike 4.0 License. Selected authority identifiers and statements are retrieved from Wikidata under CC0; their references and qualifiers remain part of the verification path.