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Answer to Question #71303 in Other Economics for Eric Han

Question #71303
When student-athletes are paid, colleges will compete to pay their players more, so they can attract the best players.

If student-athletes are paid by colleges, will colleges compete to pay their players more, so they can attract the best players? And would this make it difficult for colleges with less money to catch-up?

Furthermore, I would greatly appreciate if I could get the credentials of the person answering, and permission to cite them in a debate round.

Thanks!
Expert's answer
If student-athletes are paid by colleges, colleges will start to compete to pay their players more, so they can attract the best players from other colleges, if it is possible to transfer between colleges. But in this case it will be difficult for colleges with less money to catch-up, because they won't have ability to hire the best players. But in this case simple and fair competition between colleges may depend on financial possibilities of particular colleges.

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