Graduation Year

2025

Document Type

Campus Only Senior Thesis

Degree Name

Bachelor of Arts

Department

Economics

Reader 1

Roberto Pedace

Reader 2

Nayana Bose

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© 2024 Audrey C. B. Mallah

Abstract

Professional sports play a critical role in stimulating economic growth in both local and global markets by driving revenue through ticket sales, merchandise, sponsorships, and media rights. Building on this understanding of the economic significance of professional sports, this thesis examines whether major catastrophes—such as natural disasters or significant societal disruptions—influence team performance in American professional sports leagues beyond expected levels in the affected cities. Using panel data from 34 seasons of NFL and NBA teams, this research assesses variations in team performance relative to projected outcomes in the wake of catastrophes. A difference-in-difference regression model with fixed effects for team location and season and a dummy variable to indicate catastrophic events are employed to evaluate if these incidents influence a team's actual win percentages beyond expectations. The findings show that catastrophes do not have a statistically significant impact on NFL or NBA team performance, as measured in the seasons between 1990 and 2023.

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