The Effects of Minimum Salaries on Career Length: Evidence from the National Football League (NFL)

19 Pages Posted: 16 Jul 2014

See all articles by Johnny Ducking

Johnny Ducking

North Carolina A&T State University

Christopher R. Bollinger

University of Kentucky - Department of Economics

Date Written: July 14, 2014

Abstract

We use National Football League (NFL) data to analyze the impact of minimum salaries on an employee’s career length. The NFL has a salary structure in which the minimum salary a player can receive increases with the player’s years of experience. Salary schedules similar to the NFL’s exist in public education, federal government agencies, the Episcopalian church, and unionized industries. NFL data allows us to control for a player’s productivity. We find statistically significant evidence that minimum salaries shorten career length when they require teams to increase a player’s base salary or total compensation from year t to year t plus 1.

Suggested Citation

Ducking, Johnny and Bollinger, Christopher R., The Effects of Minimum Salaries on Career Length: Evidence from the National Football League (NFL) (July 14, 2014). Available at SSRN: https://ssrn.com/abstract=2466056 or http://dx.doi.org/10.2139/ssrn.2466056

Johnny Ducking (Contact Author)

North Carolina A&T State University ( email )

1601 E. Market Street
Greensboro, NC 27411
United States
336-285-3355 (Phone)

Christopher R. Bollinger

University of Kentucky - Department of Economics ( email )

Lexington, KY 40506
United States

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