Year: 2024
Type: article
Abstract: ABSTRACT Several researchers have reported estimates of the fraction of money placed on sports betting by “insiders” with superior information to bookmakers. We show the method for estimating the fraction of insiders used in this research is only accurate under highly unrealistic conditions and that these estimates will tend to be positive in realistic cases where there are no insiders. We also argue that variations in these estimates are unlikely to be related to variations in the amount of inside information but rather are more likely due to other factors such as variations in bookmakers' costs or the extent of competition in betting markets.
Source: Manchester School
DOI: 10.1111/manc.12505
Author: Karl Whelan
Institution: University College Dublin
Language: English
Subfield: Economics and Econometrics
Domain: Social Sciences
Open Access status: hybrid
Estimated APC paid: $3,190
Funder: Irish Research eLibrary
OpenAlex ID: W4405324870