With the MLB's regular season in the books, I want to look at MLB over the next four days with regard to: competitive balance, payroll inequality, payroll and performance and attendance analysis. To begin, I examine competitive balance in MLB using the regular season standings and the Noll-Scully measure of competitive balance. For those not familiar with this measure, start here. For those interested in calculating this on your own, try this step-by-step measure. For the calculations below, I am using data from Yahoo! Sports: https://sports.yahoo.com/mlb/standings/
First, let's start with the most recent MLB regular season: 2018. The Noll-Scully measure of competitive balance for the American League was: 2.793 and for the National League was: 1.579. Clearly, the National League was much more competitive this season than the American League. For MLB in total, the Noll-Scully was: 2.263. While this is indicative that MLB was not extremely competitive, is the 2018 regular season typical, more competitive or less competitive? To answer that, I calculate competitive balance since 2002 and display it on a graph below.
As you can see, for the National League, it is similar to previous seasons in terms of competitive balance, but for the American League, it is not.