This work is accessible only to Trinity faculty, staff, and students. Off-Campus Trinity users should click the "Off-Campus Download" button below, then enter your Trinity username and password when prompted.

Date of Award

Spring 2022

Degree Name

Bachelor of Science

Major

Economics

First Advisor

Prof. Troy Helming

Abstract

This paper will test to what extent diversification is applicable to sports teams with a particular emphasis on baseball teams. In the game of baseball, all players have unique hitting styles that can be very different or similar to another player. In theory, a batting lineup that has variation in hitting styles would make it more difficult for pitchers and fielders as they have to adjust their strategies for each different hitting style. Due to this, those who construct team rosters, either the general manager or president of baseball operations, may be able to apply stock portfolio diversification by acquiring players with different traits. The diversified player types throughout the team increases the difficulty of opposing teams to strategize and compete against a given lineup. These players provide value independent of their teammates or coworkers, so the marginal product of labor is not an output of the marginal product of capital. Three baseball diversification theories were tested to see if they had statistical evidence to support them, Three True Outcome diversification, Triple Slash Line and Age diversification, and Batted Ball diversification. Regressions were ran with a talent normalizing variable and inequality variables to measure the level of diversification for certain statistics as independent variables. The number of runs scored was used as the dependent variable. Data was collected from the 30 MLB team rosters from 2002-2021, excluding 2020. The only theory that had statistical evidence supporting it was the Batted Ball theory. The results of this paper allow general managers or presidents of baseball operations to know what areas diversification should be applied to when constructing a hitting lineup.

Comments

Senior thesis completed at Trinity College Hartford CT for the degree of Bachelor of Science in Economics. Full text access is limited to the Trinity campus.

Download
Off-Campus Download

Share

COinS