The folks who run nominally “non-profit” institutions (can you say “bar & guild“?) have the incentive to create rules and relationships among their members that will maximize
the income of all those members — especially when they convince themselves that they are
acting for a very good cause, such as education. [Adam Smith’s axiom certainly doesn’t have
an exception for non-profits.] Using market power against potential or actual rival groups, or
eliminating them throughacquisition or entry barriers, is a very good way to maximize income.
Of course, the NCAA’s leaders also have the normal human desire to increase their domain.
“I sort of vaguely recall such a time [when NIT was a vigorous competitor with the
NCAA], but if David’s point is that there ought to be some competition to be stifled
before one concludes that a merger is anit-competitive, I have to agree. Stick a fork
in the NIT; it’s done.”
That’s a little cavalier, even from the perspective of a West Coaster with little empathy for fans in “bballguysNF”
New York City. The fact that the National Invitational Tournament has been reduced over the years —
thanks in great part to the actions and policies of the NCAA — to a mere David competing with tiny
stones against the NCAA Goliath makes a merger investigation even more important. (See the
there were product and geographic market definitions questions in the case.) Clearly, there is still
“some competition” between the two post-season tournaments (as the $40.6 million offer to buy
the NIT suggests), and removing NIT completely will not only extinguish the only current rival, it will
make the likelihood of a new entrant into the pre- or post-season basketball tournament arena
virtually zero.
Of course, ending the litigation also keeps the court from assessing the legality of the NCAA’s
restrictive post-season rules for member schools.
“bBallGuysN” One thing we can all agree on: There’s been too much prose
and not enough poetry at this website lately; Overnight, Ed Markowski
supplied us all with more good haiku and senryu about his beloved game
of basketball and the humans who play it:
Manhattan
the shadow of a skyscraper falls across
the basketball court
Highway One
ten feet up the Sequoia
an orange hoop
long rebound
crossing mid-court
she crosses my mind
Indiana farm
one tractor
three hoops
calligraphy class
the point guard
pens a nike swoosh
on a related note:
game over
men turn to leave
the tv department
Given the study featured in our recent post second thoughts about sunscreen?,
Before legislators try to get the Gulf Coast insurance companies to
