The economy and the NHL

The ever-popular National Hockey League is feeling the effects of the economy as much as anyone. As the NHL and the NHL Players Association argue over salary cap and player rights, attendance continues to take a dive. Corporate sponsorship is down, causing teams in large markets such as New York and Chicago to struggle to spend to support big-ticket players. Five years after first applying the salary cap, the league is finding itself on the verge of having to lower the cap. Several teams such as Atlanta, Nashville, and Phoenix struggle to make money and are possible considerations for relocation. None of those three teams have been making money since the rule changes and lockout five years ago. However, NHL commissioner Gary Bettman says relocation is not an immediate threat. According to the Collective Bargaining agreement made during the lockout, there is a revenue sharing agreement that is keeping some teams afloat.
Here in Columbus, low attendance has been a glaring problem for most of the season. The first few years of the franchise saw the majority of games sell out and very few seats go to waste. After seven seasons of finishing in the bottom third of the league, the fans waned. Ticket prices continued to increase as the economy went down the toilet. Most casual fans were simply unable to afford the luxury. However, with around 15 games remaining and the Blue Jackets in a playoff position for the first time, attendance is starting to climb for the first time in history. While the cost of tickets is overwhelming for the casual fan (lower bowl tickets around $80 bucks a pop) it is becoming clear that the excitement of bringing a professional championship to Columbus is outweighing that cost.

Travis H
Econ 200 (8:00)