BOOK reVIeWs

Soccernomics: Why England Historically, little effort has would have done it for peanuts. loses, why Germany and been made to systematically analyse So I saw the chief executive and he Brazil win, and why the U.S., and understand soccer despite its offered me 2000 marks a month! Japan, Australia, Turkey— popularity and infl uence over the Compare that to my other two and even Iraq—are destined ages. Its wisdom is encapsulated internships at 360 marks (at a to become the kings of the in sayings like ‘Soccer is a game mining company) and 800 marks world’s most popular sport for 22 people that run around, (at a mineral oil company) and By Simon Kuper and play the ball, and one referee who you can see how little business Stefan Szymanski makes a slew of mistakes, and in sense the soccer manager had. Nation Books, New York, 2009 the end Germany always wins’ No wonder the club is almost US$14.95, 328 pages (, former English broke now. And they are probably ISBN 9781568584256 player now BBC broadcaster) or no better at managing players’ ‘England have the best fans in salaries. he global fi nancial crisis the world and Scotland’s fans are According to Soccernomics, Thas shaken the belief that second-to-none’ (, such naïve business practices are economics can tell us anything former English player and coach). not the exception but the rule. worthwhile about human nature. That there are some By statistically analysing Locked away in their ivory towers, hidden truths about the hiring patterns of economists have taken leave soccer probably never European soccer clubs from reality to deal with grossly occurred to players or (for players, not for unrealistic abstractions of the sports journalists. It took interns), they found world in which the rest of us live, a few soccer-obsessed that managers are or so the prejudice goes. economists, statisticians systematically biased in Given this sad, unworldly and mathematicians to numerous ways. They image of economics (or ‘the dismal dig for hidden patterns hire expensive Brazilians science,’ as it is often referred to), in soccer. Szymanski and when cheaper Moldovans it is refreshing to see that there Kuper have collected are just as good; they are still economists out there who those fi ndings and turned them prefer experienced players who have something worthwhile to say. into an entertaining read. have long passed their zenith; and Even if it is only about soccer. The result is a book that is they spend millions in transfer fees Stefan Szymanski, economics at once incredibly narrow and but forget to help players relocate, professor at Cass Business School extremely diverse. The questions it learn the language, and integrate. in , and Simon Kuper, a aims to answer range from ‘Which The mistakes made in club journalist for the Financial Times, is the best soccer nation on earth?’ management are so obvious that have written a book that pretends and ‘What impact does soccer any rational observer would be to be about soccer (or ‘football,’ have on suicide rates?’ to ‘Why are stunned. What’s remarkable, as most soccer fans would call it). the people who run soccer clubs though, is the fact that soccer clubs In fact, readers may be left with so dumb?’ All these questions neither learn from their mistakes the impression that Soccernomics are satisfactorily answered based or get punished for making them. superfi cially deals with little else. on empirical data and sound As Szymanski and Kuper explain, But hidden behind the story economic logic. the reason may be that soccer clubs of the world’s most popular That soccer club managers are hardly ever go out of business. In sport, readers will encounter how not particularly savvy business fact, most of them are not really economic principles are at work people is not one of the world’s in business anyway. As the authors even in places and at times where greatest secrets. As it happens, I put it, ‘The business of soccer is one would least expect them. had as a student applied for an soccer.’ When companies fail, Furthermore, Soccernomics holds internship at my favourite soccer they go bankrupt. When soccer lessons that apply well beyond the club to see how the football clubs fail, they get relegated to a football ground. business really worked, and I lower division with a lower cost

Policy • Vol. 26 No. 2 • Winter 2010 63 book reviews

structure. That’s practical for happened to be almost identical. Given that more Australian them, but it does not teach them Better still, goalkeepers, too, tend children now play soccer than business discipline. to intuitively choose the penalty Aussie Rules and both rugby codes Despite this, the curious world strategy that game theory would combined, this prophecy may not of soccer is full of fascinating have recommended. Maybe homo be as outrageous as it first seems. material that has counterparts in economicus is not dead after all? Convincing as the rest of the the real world. Most interestingly, That soccer has a lot to do with book is, readers may nevertheless regional economics with its theories happiness is nothing new to the wonder whether such long- about the development of clusters average supporter. Fascinatingly term forecasting is reliable. Or and spatial networks are reflected though, the effect goes well beyond is Australian soccer just another in soccer. It is no coincidence soccer fans. There is clear evidence bubble that will eventually burst? that the most successful soccer that a major tournament, though Future generations of soccer developed within a comparatively rarely economically profitable, economists will tell us. close-knit region of Europe from significantly lifts the host nation’s The Socceroos’ performance where it slowly migrated to other happiness for years. No wonder at this year’s World Cup might parts of the world. countries like Australia invest indicate whether Szymanski and Behavioural economists will huge resources into their bids to Kuper are on the right track. In also be surprised that the book host the FIFA World Cup. the meantime, Soccernomics should reveals remarkable rationality in Australia is predicted by be any intelligent soccer fan’s soccer players. The authors cite Szymanski and Kuper to be one of half-time read. the work of a game theorist who the upcoming soccer superpowers. calculated the optimal strategy for More than that, they believe that Reviewed by Oliver Marc penalty takers wishing to maximise soccer will cannibalise other home- Hartwich their chances of scoring. When grown sports so that ‘[a] century compared to the actual strategies from now, Aussie Rules might exist applied by the players, they only at subsidized folk festivals.’

64 Policy • Vol. 26 No. 2 • Winter 2010