A Brief Analysis of the Correlation Between Budget and Performance in Romanian Soccer

Cocioc, Paul (2025): A Brief Analysis of the Correlation Between Budget and Performance in Romanian Soccer. Published in: Studia UBB Educatio Artis Gymnasticae , Vol. 70, No. 3 (November 2025): pp. 67-79.

Abstract

Starting from the widely held idea in Romanian football (and not only) that a higher budget is almost the only requirement for better performance for a club, our study investigates the existence and intensity of such a correlation. At the same time, we sought to deepen the correlations within club expenditures, through those related to the player roster as an expression of its value, where we expect a to see a higher intensity in relation to sports results. Due to data availability considerations, the analysis is limited to the latest seasons of the domestic championship. The approach is based on rank correlation, and the tools used are Kendall’s coefficient and Spearman’s coefficient. The results obtained con�irm expectations regarding the existence of a direct relationship between the amounts spent by a club and its position in the rankings, but the intensity of this correlation is signi�icantly lower than expected, at least at the level of total expenditures.

• Item Type: MPRA Paper
• Language: English
• Keywords: budget, sport performance, rank correlation
• Subjects: C - Mathematical and Quantitative Methods > C1 - Econometric and Statistical Methods and Methodology: General > C12 - Hypothesis Testing: General; L - Industrial Organization > L8 - Industry Studies: Services > L83 - Sports ; Gambling ; Restaurants ; Recreation ; Tourism; M - Business Administration and Business Economics ; Marketing ; Accounting ; Personnel Economics > M1 - Business Administration > M19 - Other

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