We all love our football, no more so than this weekend. But, it’s not just about cheering on your favorite team, guiltlessly eating wings, nachos or your favorite in-game football snack food, and gathering around that ever increasingly massive television (after all, it’s the second best time of the year to buy a television according to Consumer Reports). Research shows that NFL team success can have a benefit for your wallet.
That’s right, NFL team success can make us better off. The research suggests that there is a psychological benefit to identification with winning teams. Basking in the glory of one’s team’s success increases your self-esteem and workplace productivity. And, with that comes higher pay! Employers please note that because there are so many fans of teams that do not win the NFL championship each year, the sheer volume of losing fan labor doesn’t necessarily suggest that we are less productive.
"When you sit down on Sunday night to watch the big game, remember that the fans in Atlanta and Boston are already reaping the benefit of NFL success and to the victor will go bragging rights, but surprisingly a little more housing affordability too."
Before you discount the psychological literature, keep in mind that the field of behavioral economics was founded by psychologist Daniel Kahneman, who won the Nobel Prize in Economics. There is a growing body of research to show we don’t act with pure economic rationality, so maybe the joy of NFL team success can make us better off.
The chart below shows the improvement in real-per capita income by NFL team winning success. The two teams in the championship game this year have, by their success, already improved their fans real income by at least $140 this year. That can buy a lot of pizza this Sunday. The benefit doesn’t stop at just overall success. Add another five cents if your team wins the conference championship, as both teams have done. Win the whole enchilada? Well, that’s worth another $1.39.
Doesn’t seem like much? What if the extra income was used to buy a home? One could afford to spend an extra $143 and $165 in Boston and Atlanta respectively. Using our Real House Price Index, which adjusts for area income levels and interest rates on mortgages to gauge how affordable housing is, we can convert these winnings into housing affordability gains. If Atlanta wins, hometown fans will enjoy an increase of $547 in affordability due to the Falcon’s success this year. If the Patriots win, affordability in Boston will improve by $758. It may not seem like much, but every little bit counts these days. And, what’s not to like when your favorite football team can (indirectly) put a few dollars in your pocket.
When you sit down on Sunday night to watch the big game, remember that the fans in Atlanta and Boston are already reaping the benefit of NFL success and to the victor will go bragging rights, but surprisingly a little more housing affordability too.
