Category: Sports

Who is rising and falling in status in the NBA?

Falling:

Damian Lillard
Jordan Poole
Zion Williamson
Klay Thompson
Andrew Wiggins
Austin Reeves

Rising:

Embiid
Maxey
Porzingis
Haliburton
Curry (not Seth)
Dare I say Kyrie Irving?
Lebron, if that is even possible at this point, he is already GOAT
Greg Popovich
Wemby
Bam Adebayo

That is a lot of status reshuffling, but it seems to be happening pretty quickly and I suspect most of it will stick, with Kyrie Irving maybe still up for grabs.  Others?

When I was over Auren Hoffman’s house, I bet (using play chips only) 70% that either Boston or Denver wins the title this year.

The economics of collegiate sports participation

That is the topic of my latest Bloomberg column, here is one excerpt:

As for the students themselves, recent research indicates that sports performance makes former student athletes more valuable in the workplace. Former college athletes are much more likely to enter the high-earning fields of business and finance, relative to their non-athlete classmates. That can benefit the former students, their alma mater and the overall economy.

The research also shows that student athletes are less likely to get a doctoral degree or become a medical doctor, or to enter STEM fields. Might it be that the STEM jobs will become the province of the less athletic?

Looking at just Ivy League graduates, former athletes do better in the labor market — that is, they earn more money — than non-athletes. This result holds even when controlled for school attended, year of graduation, field of study and first job. Those same athletes are also more likely to hold senior positions. That could be evidence of leadership skills, or of their ability to learn and improve over time, as indeed good athletes must do. After five years, the earnings of the former college athletes start to outperform their non-athletic peers.

It is hard to avoid the conclusion that college athletes actually learn something useful. And what they learn, in many cases, is probably leadership skills. It is also possible that their athletic experiences sharpen their wits, their competitive sense, their problem-solving acumen and their ability to work with others.

Interestingly, the same study shows that athletes in more socioeconomically diverse sports, such as track and field, also earn more than their non-athletic peers. This suggests that their advantage comes not from having attended some fancy prep school.

Here is the original work by Natee AmornsiripanitchPaul GompersGeorge HuWill Levinson Vladimir MukharlyamovOne broader lesson is that colleges and universities should encourage more “hands on projects.”

My excellent Conversation with Lazarus Lake, ultra-marathons

Here is the audio, video, and transcript.  Here is the episode summary:

Lazarus Lake is a renowned ultramarathon runner and designer. His most famous creation (along with his friend Raw Dog) is the Barkley Marathons, an absurdly difficult 100-mile race through the Tennessee wilderness that only 17 people have ever finished in its nearly 30-year existence.

]Tyler and Laz discuss what running 100 miles tells you about yourself that running 26 miles does not, why so many STEM professionals do ultramarathons, which skill holds people back the most, why his entrance fee is no more or less than $1.60, the importance of the Barkley’s opaque application process, how much each race costs to mount, whether he sees a decline in stoicism and inner strength in America, what accounting taught him about running, which books influenced him the most, who’s going to win the NBA title next year, how he’s coping with increasing fame, the competition he’s most focused on now, and more.

And one excerpt:

COWEN: Of all of those skills, which is the most scarce? Which holds people back the most, apart from just the running and the endurance? What are they most likely to screw up?

LAKE: I think these days, navigation is a bigger problem than it used to be because people have become dependent upon GPS. If you don’t use part of your brain, it withers. If you’re not accustomed to knowing, in your head, where you are and just listening for a little voice to tell you when to turn next, it’s something of a problem because they don’t get to take GPS.

COWEN: They literally end up lost in the woods, some people.

LAKE: It happens.

COWEN: What happens to them then? They stay there for the rest of their lives? They wander slowly back to civilization, or . . . What becomes of them? They send out a call for help?

LAKE: If they don’t find their way out in a couple of days, we’ll go look for them. Usually, they will. So far, they’ve always found their way out.

COWEN: That’s the incentive.

LAKE: Sometimes they wander around for an extended period of time lost, but that’s what they signed up for. They’re on their own. All the electronics and all the conveniences of modern life are gone, and they just rely on themselves.

And:

COWEN: How did carrying bodies to the morgue influence your subsequent life?

LAKE: [laughs] How did you know I did that?

As I’ve said before, CWT guests who do not have a college degree are better on average (in equilibrium).

Model this, NBA rebounding edition

There has staggeringly been only one U.S. representative among the league’s top 10 rebounders for each of the past three seasons.

That is from Marc Stein.  How did that happen?  Where is the current-day Charles Oakley?  Moses Malone, our nation turns it lonely eyes to you!  Dennis Rodman would do as well. Yet here is the list of the top rebounders from last year in the NBA, and yes Rudy Gobert is French.

Of course, you all know that in the key FIBA games the U.S. squad was badly rebounded by a number of nations, including the tiny Lithuania (their population is tiny, not their size per person).  And Bam Adebayo was tired from the Finals and was not available.

Why has the balance of rebounding power turned so seriously against U.S. basketball players?  Is it that all the tall ones are nowadays being hired by Goldman Sachs or Open AI?  Somehow that doesn’t seem right to me.

One hypothesis is that today the game demands a broader set of skills, and more teamwork, than in earlier times.  Charles Oakley still would make the NBA today, but perhaps as an 11th man, rather than as a regular player who could hone his skills and become a leading figure.  In other words, the return to training big men has (maybe) gone up a lot.  Simply being big and strong yields a smaller return than before, because on offense they are counting on you to hit that open three-point shot.  On defense, they are counting on you to rotate on perimeter defense in a manner that Oakley did not have to worry about so much.  And so on.

And maybe the European and other teams do a better job training their big men at younger ages.  The European big guys do in fact have excellent long-distance shooting and often higher quality passing skills.  The U.S. players (mostly) leaving college after their first year does not help with this.

And thus, in that equilibrium, the better shooting makes the teams as a whole, better rebounders as well.  That is a modestly counterintuitive conclusion.

Or is there some other, better model for why U.S. rebounding prowess has declined in recent years?

The Bat the Ball and the Hopeless

You will no doubt be familiar with the bat and ball problem;

  • A bat and a ball cost $1.10 in total.
  • The bat costs $1.00 more than the ball.
  • How much does the ball cost? ____ cents.

In a paper in Cognition, Meyer and Fredrick test multiple versions of the bat and ball and related problems to try to uncover where people’s intuitions go wrong. The most remarkable two versions of which are shown below:

  • A bat and a ball cost $110 in total.
  • The bat costs $100 more than the ball.
  • How much does the ball cost?
  • Before responding, consider whether the answer could be $5.
  •  $_____

———–

  • A bat and a ball cost $110 in total.
  • The bat costs $100 more than the ball.
  • How much does the ball cost?
  • The answer is $5.
  • Please enter the number 5 in the blank below.
  •  $_____

Remarkably, even when told to consider $5, most people continue to answer $10. Even more shockingly, most people get the answer right when they are explicitly told the answer and instructed to enter it, yet 23% still get the answer wrong! Wow.

The authors conclude:

…this “hinted” procedure serves to partition respondents into three groups: the reflective (who reject the common intuitive error and solve the problem on the first try), the careless (who answer 10, but revise to 5 when told they are wrong), and the hopeless (who are unable or unwilling to compute the correct response, even after being told that 10 is incorrect)

…many respondents maintain the erroneous response in the face of facts that plainly falsify it, even after their attention has been directed to those facts….the remarkable durability of that error paints a more pessimistic picture of human reasoning than we were initially inclined to accept; those whose thoughts most require additional deliberation benefit little from whatever additional deliberation can be induced.

As an economist, I would have liked to see an incentivized version (maybe some people are pulling the authors legs) but I don’t actually think that explains the results. Quite a few people are indeed hopeless.

My Conversation with Vishy Anand

In Chennai I recorded with chess great Vishy Anand, here is the transcript, audio, and video, note the chess analysis works best on YouTube, for those of you who follow such things (you don’t have to for most of the dialogue).  Here is the episode summary:

Tyler and Vishy sat down in Chennai to discuss his breakthrough 1991 tournament win in Reggio Emilia, his technique for defeating Kasparov in rapid play, how he approached playing the volatile but brilliant Vassily Ivanchuk at his peak, a detailed breakdown of his brilliant 2013 game against Levon Aronian, dealing with distraction during a match, how he got out of a multi-year slump, Monty Python vs. Fawlty Towers, the most underrated Queen song, how far to take chess opening preparation, which style of chess will dominate in the next ten years, how AlphaZero changes what we know about the game, the key to staying a top ten player at age 53, why he thinks he’s a worse loser than Kasparov, qualities he looks for in talented young Indian chess players, picks for the best places to eat in Chennai, and more.

Here is one excerpt:

COWEN: Do you hate losing as much as Kasparov does?

ANAND: To me, it seems he isn’t even close to me, but I admit I can’t see him from the inside, and he probably can’t see me from the inside. When I lose, I can’t imagine anyone in the world who loses as badly as I do inside.

COWEN: You think you’re the worst at losing?

ANAND: At least that I know of. A couple of years ago, whenever people would say, “But how are you such a good loser?” I’d say, “I’m not a good loser. I’m a good actor.” I know how to stay composed in public. I can even pretend for five minutes, but I can only do it for five minutes because I know that once the press conference is over, once I can finish talking to you, I can go back to my room and hit my head against the wall because that’s what I’m longing to do now.

In fact, it’s gotten even worse because as you get on, you think, “I should have known that. I should have known that. I should have known not to do that. What is the point of doing this a thousand times and not learning anything?” You get angry with yourself much more. I hate losing much more, even than before.

COWEN: There’s an interview with Magnus on YouTube, and they ask him to rate your sanity on a scale of 1 to 10 — I don’t know if you’ve seen this — and he gives you a 10. Is he wrong?

ANAND: No, he’s completely right. He’s completely right. Sanity is being able to show the world that you are sane even when you’re insane. Therefore I’m 11.

COWEN: [laughs] Overall, how happy a lot do you think top chess players are? Say, top 20 players?

ANAND: I think they’re very happy.

Most of all, I was struck by how good a psychologist Vishy is.  Highly recommended, and you also can see whether or not I can keep up with Vishy in his chess analysis.  Note I picked a game of his from ten years ago (against Aronian), and didn’t tell him in advance which game it would be.

In which sector are the top performers stupidest?

One of my core views is that the most successful performers in most (not all) areas are extremely smart and talented.  So if you are one of the (let’s say) top fifty global performers in an area, you are likely to be one sharp cookie, even if the form of your intelligence is quite different from that in say academia or the tech world.

You might that a sport such as basketball selects for height, and thus its top performers are not all that mentally impressive.  But I’ve spent a lot of time consuming the words of Lebron James, Magic Johnson, Michael Jordan, and Kareem Abdul-Jabbar (including a podcast and a dinner with the latter), and I am firmly convinced they are all extremely intelligent.  From what I’ve read about supermodels, they are also an extremely intelligent group at the very top.  There are many good-looking women, but managing your career to get to the top in a non-self-destructive fashion still requires extreme talent.

In general, most forms of top achievement involve knowing how to practice and knowing how to manage your career, both of which are likely to select for both smarts and determination.

So what then is the area where top performers are just not that smart?  Comments are open.

Markets in everything, hockey romance edition

Before last week, many people may not have known about the existence — or exceptional popularity — of hockey romance novels. But the subgenre captured mainstream attention when an NHL player and his wife called on readers to stop sexually harassing him.

Allow me to explain: A sizable portion of BookTok, a book lovers’ community on TikTok, is devoted to romance. Creators share spicy reading recommendations throughout the genre, including hockey romances. When it comes to posts about this particular category of romance novel, quotes from books will appear on top of video edits of real NHL players, sometimes doing suggestive groin exercises on the ice.

Posters gravitate to players who remind them of their favorite book boyfriends, and one popular choice is Seattle Kraken center Alex Wennberg. His team initially courted BookTok with posts and hashtags in the same style, and flew out a popular creator for a playoff game…

Within the subcategory of sports romance, hockey dominates. Right now, all 10 of the top sports romances on Amazon involve hockey.

Here is the full story.

Shadow Effects of Tennis Superstars

In multi-stage tournaments, anticipated competition in future stages might affect the outcome of competition in the current stage. In particular, the presence of super- stars might demotivate the next-best competitors from seeking to advance to later rounds, where they ultimately are likely to face a superstar. Data from men’s professional tennis tournaments held between 2004 and 2019 affirm that the participation of superstars (Djokovic, Nadal, Federer, and Murray) reduces the probability that the remaining Top 20 players win their matches. Such shadow effects arise even in very early tournament stages, in which favoured players lose more often than expected, given their ability. The effects are more pronounced when multiple superstars com- pete in the tournament and disappear once all superstars have been eliminated from competition. Furthermore, shadow effects increase the probability of retirement of strong but non-superstar competitors and disappear once superstar performance is not dominant.

That is from a new paper by Christian Deutscher, Lena Neuberg, and Stefan Thiem, via the excellent Kevin Lewis.

The economics of NBA contracts

That is the topic of my latest Bloomberg column, here is one excerpt:

The Boston Celtics just set an NBA record by agreeing to a five-year, $304 million contract with two-time All-Star Jaylen Brown. The obvious question is whether any single basketball player can be worth that much money — especially someone who is not even the best player on his team, much less on a par with Lebron James, Stephen Curry or any number of other shoo-in hall of famers.

I’m not here to make predictions about Brown’s career. But the odds are the deal will be seen as a good one — maybe even a bargain. The economics of the National Basketball Association have been shifting toward more and more money.

This trend is evident in the rising value not just of players but of teams. Last year the Phoenix Suns sold for $4 billion (with the WNBA’s Phoenix Mercury). To put that number in perspective, the Brooklyn Nets sold for $3.3 billion in 2019, the Houston Rockets sold for $2.2 billion in 2017, and the Atlanta Hawks sold for a mere $850 million in 2015.

Much of the rest of the column considers the impact of foreign money on other sports, and perhaps someday the NBA:

And then there is the growing internationalization of capital in sports, which will buttress high prices for both players and teams. This trend goes beyond American basketball: One Saudi Arabian club, Al-Hilal, has offered French soccer star Kylian Mbapp é $333 million to play next year in Saudi Arabia. The Saudis are already paying Cristiano Ronaldo $220 million over two years. Lionel Messi turned the Saudis down, but surely the offer increased his bargaining power with MSL’s Inter Miami, where his deal is valued at $50 to $60 million annually.

Might the Saudis consider something similar for a US basketball star? Lebron James already tweeted that he would gladly accept a comparable offer, and many others would accept far less.

The Desert Kingdom would probably have a hard time putting together a full NBA-like season with 30 teams. But it could bring in more European or other foreign players to its current league, shorten the season, or feature 3-on-3 games. In addition to wealth, they need to rely on innovation.

These scenarios don’t have to happen to serve as a check on NBA management or owners.

Qatar owns five percent of the Washington Wizards, we will see if this becomes a larger basketball trend or not.

Wemby

He clearly is a special and multi-faceted talent, but I am worried.  Most of all, I am worried by his body shape, which reminds me of both Pervis Ellison and Shawn Bradley, with a height somewhere in between those two.  Players with that kind of physique typically have problems a) avoiding injuries, and b) avoiding foul trouble (they are not always strong enough to hold their ground, they tend to reach a lot, and they tend to be fooled by fakes).

So can he stay on the court?  I am not picking him to win Rookie of the Year, as some big men take much longer to develop (I am looking more at the five blocks than the 2-13 shooting in his Summer League debut).  Let’s hope he gets the chance.

My excellent Conversation with Seth Godin

Here is the audio, video, and transcript from a very good session.  Here is part of the episode summary:

Seth joined Tyler to discuss why direct marketing works at all, the marketing success of Trader Joe’s vs Whole Foods, why you can’t reverse engineer Taylor Swift’s success, how Seth would fix baseball, the brilliant marketing in ChatGPT’s design, the most underrated American visual artist, the problem with online education, approaching public talks as a team process, what makes him a good cook, his updated advice for aspiring young authors, how growing up in Buffalo shaped him, what he’ll work on next, and more.

Here is one excerpt:

COWEN: If you were called in as a consultant to professional baseball, what would you tell them to do to keep the game alive?

GODIN: [laughs] I am so glad I never was a consultant.

What is baseball? In most of the world, no one wants to watch one minute of baseball. Why do we want to watch baseball? Why do the songs and the Cracker Jack and the sounds matter to some people and not to others? The answer is that professional sports in any country that are beloved, are beloved because they remind us of our parents. They remind us of a different time in our lives. They are comfortable but also challenging. They let us exchange status roles in a safe way without extraordinary division.

Baseball was that for a very long time, but then things changed. One of the things that changed is that football was built for television and baseball is not. By leaning into television, which completely terraformed American society for 40 years, football advanced in a lot of ways.

Baseball is in a jam because, on one hand, like Coke and New Coke, you need to remind people of the old days. On the other hand, people have too many choices now.

And another:

COWEN: What is the detail you have become most increasingly pessimistic about?

GODIN: I think that our ability to rationalize our lazy, convenient, selfish, immoral, bad behavior is unbounded, and people will find a reason to justify the thing that they used to do because that’s how we evolved. One would hope that in the face of a real challenge or actual useful data, people would say, “Oh, I was wrong. I just changed my mind.” It’s really hard to do that.

There was a piece in The Times just the other day about the bibs that long-distance runners wear at races. There is no reason left for them to wear bibs. It’s not a big issue. Everyone should say, “Oh, yeah, great, done.” But the bib defenders coming out of the woodwork, explaining, each in their own way, why we need bibs for people who are running in races — that’s just a microcosm of the human problem, which is, culture sticks around because it’s good at sticking around. But sometimes we need to change the culture, and we should wake up and say, “This is a good day to change the culture.”

COWEN: So, we’re all bib defenders in our own special ways.

GODIN: Correct! Well said. Bib Defenders. That’s the name of the next book. Love that.

COWEN: What is, for you, the bib?

GODIN: I think that I have probably held onto this 62-year-old’s perception of content and books and thoughtful output longer than the culture wants to embrace, the same way lots of artists have held onto the album as opposed to the single. But my goal isn’t to be more popular, and so I’m really comfortable with the repercussions of what I’ve held onto.

Recommended, interesting throughout.  And here is Seth’s new book The Song of Significance: A New Manifesto for Teams.