April 4th, 2008

Bush dollar

Final-Four basketball is a scam

Turns out that the universities that get to the Final Four not only don't make a lot of money from it, they actually lose money as a reward for making it that far. This puts the lie to the notion that sports brings in money to a college: Sure they do! But they often lose more than they bring in.

Final-Four universities are obliged to buy 400 hotel rooms, spend $32,000 on a party in a local convention hall, and much more. They also only get to buy a small number of tickets, so they end up having to pay top dollar to see the games.

The University of Texas lost $130,000 on their last Final Four appearance. On the bright side, it's possible that they might make it up later through merchandise and such.

Once again: Why do educational institutions have sports programs?