Sunday, November 08, 2020

Shirking in the NHL

 The main idea of the capture theory is that representatives will serve the economic interests of their constituency which will get them reelected. The NHL provides a great example of the capture theory in action. Though the NHL carried out a successful, COVID-free postseason, scheduling the regular season is not as simple. Gary Bettman, the NHL commissioner since '93, has faced challenges throughout his tenure with the NHL such as labor lockouts, expanding the league, and now a national pandemic. Bettman has also proven to be a profit-maximizing commissioner, increasing NHL revenues since he started in this position. Bettman not only seeks to maximize utility for himself in raising revenues (and likely raising his salary in doing so), but also has to look out for the best interests of the teams he works for. 

In considering the COVID risks and struggles that come along with restarting the regular season, Bettman and his group of executives have devised several plans to best start the season. These options range from operating inside a few bubble-like hubs, traveling semi-normally (much like the NFL and MLB have), or even shutting down for the year. Bettman has to juggle which option not only expresses his social interests but also the economic interests of the teams he represents. Bettman has an incentive to shirk, thinking about his own utility by increasing profits by reopening all stadiums and having a near-normal season. Yet, Bettman is likely not to do so because his job hinges both on his economic success and his ability to appease majority of his teams. Bettman has a clear, yet challenging task: get the NHL back on track with as few COVID cases as possible. His executives and the teams coaches, players, and managers are likely to monitor his plans and be consulted with throughout this decision-making process. Additionally, Bettman has already received lots of feedback about the Edmonton and Toronto bubbles, and these "performance reviews" will likely affect the future of the 2020-2021 season. Finally, there are several, qualified executives who, I'm sure, would be ready and willing to take Bettman's place if this NHL season is a failure. Therefore, shirking will probably not be an issue, especially since Bettman has proven time and time again that he can withstand any challenge that comes his way. I'm sure that he will be successful in capturing both revenues and reelection with whatever plan he employs for this upcoming season. 

No comments: