Richest Clubs In La Liga Soccer League
Overview
La Liga is the men's top professional association football division of the Spanish football league. Many clubs like FC Barcelona, Real Madrid, and Atletico Madrid play in this league. Many of these clubs are also extremely wealthy, making money from their sponsorship, merchandise, and their skillful players.
Why we chose this topic:
- We chose this topic because we were wondering how the top clubs outperform so many of the smaller clubs that do not pay much money. We decided to look at if there is a correlation between the money the club spends and the amount of goals they score and how the teams are performing in the La Liga standings
Research Questions
Is there a correlation between the money the club spends and the wins/team success they achieve? Are they more likely to win more games or championships if they spend more money?
Economic Concepts
There are three economic concepts we used to connect the amount of money clubs pay for players and the clubs performance. We decided on the three economic concepts: investment, Risk/Reward, and Rate of Return. Football clubs compete with each other all of the time and each one wants to be the best in the league.
Investment
Players are an investment because clubs are paying very large amounts of money for the top players and if the top players are not performing well they are not a good investment and clubs need to invest large amounts of money into players and hope that they will be scoring goals for the club.
Risk/Reward
Risk and Reward can connect to players because with clubs paying very large amounts of money for players there can be a lot of risk if the players are not scoring goals. One example of this is Real Madrid paying 700,000 pounds a week to have Ronaldo on their team and there is a lot of risk with paying that much for a player but there can also be very high reward.
Evidence:
Rate of Return
By looking at the graph we can see a pattern that the clubs that pay the most money are the top performing clubs in the La Liga standings and they are scoring the most goals. This shows that the rate of return for the clubs that are spending large amounts of money are scoring more than the teams that are paying less meaning that their rate of return is higher.
Economic Conclusion
During my research, I found out about player salaries, their performance, and if how much they are paying for the player is really worth it. Football clubs will pay very large amounts of money for the top players to be able to be the top performing teams and it is shown in the standings.
Sources Used:
La Liga Standings
La Liga Club Scores
La Liga Club Goals
Club average salaries of players combined to an average.