Third-Party Grading as a Useful Measure of Demand: Evidence from NBA Cards

IF 0.4 Q4 ECONOMICS

ATLANTIC ECONOMIC JOURNAL Pub Date : 2025-12-10 DOI:10.1007/s11293-025-09835-1

George Langelett, Zhiguang Wang

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引用次数: 0

Abstract

Since collectibles are potentially prized artifacts, determining value is subjective by nature. The value of any collectible is difficult to measure because it is perceived based on desirability, condition, and rarity. The purpose of this paper is to better understand the determinants of market price in a sports card market, namely rookie cards from the National Basketball Association. Empirical data from 2001 to 2009 were collected from the eBay and Professional Sports Authenticator websites to disaggregate price into intrinsic value versus quantity available. After controlling for market supply, third-party grading was used to help quantify demand. Simultaneous endogeneity of both market price and quantity was tested through a two-stage least squares model. This study found that both third-party grading and player performance variables affect the value of graded National Basketball Association basketball cards. The Professional-Sports-Authenticator-10-grading dummy variable carries the largest economic impact. Holding all else constant, a card graded Gem Mint trades at roughly 339% above a grade 8 baseline. The use of third-party grading is a novel measure of demand in markets for collectibles.

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第三方评分作为一种有用的需求衡量：来自NBA卡片的证据

由于收藏品是潜在的珍贵文物，因此确定价值本质上是主观的。任何收藏品的价值都是很难衡量的，因为它是基于可取性、条件和稀有性来感知的。本文的目的是为了更好地理解体育卡市场中市场价格的决定因素，即来自nba的新秀卡。从2001年到2009年，我们从eBay和Professional Sports Authenticator网站收集了经验数据，将价格分解为内在价值和可用数量。在控制市场供应后，使用第三方评级来帮助量化需求。通过两阶段最小二乘模型检验了市场价格和数量的同时内生性。本研究发现，第三方评分和球员表现变量都会影响nba篮球卡评分的价值。professional - sport - authenticator -10分级虚拟变量的经济影响最大。在其他条件不变的情况下，一张等级为Gem Mint的卡牌的交易价格大约比8级基准高出339%。使用第三方评级是衡量收藏品市场需求的一种新方法。

本文章由计算机程序翻译，如有差异，请以英文原文为准。

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来源期刊

ATLANTIC ECONOMIC JOURNAL ECONOMICS-

CiteScore

1.30

自引率

16.70%

发文量

期刊介绍： The Atlantic Economic Journal (AEJ) has an international reputation for excellent articles in all interest areas, without regard to fields or methodological preferences. Founded in 1973 by the International Atlantic Economic Society, a need was identified for increased communication among scholars from different countries. For over 30 years, the AEJ has continuously sought articles that traced some of the most critical economic changes and developments to occur on the global level. The journal''s goal is to facilitate and synthesize economic research across nations to encourage cross-fertilization of ideas and scholarly research. Contributors include some of the world''s most respected economists and financial specialists, including Nobel laureates and leading government officials. AEJ welcomes both theoretical and empirical articles, as well as public policy papers. All manuscripts are submitted to a double-blind peer review process. In addition to formal publication of full-length articles, the AEJ provides an opportunity for less formal communication through its Anthology section. A small point may not be worthy of a full-length, formal paper but is important enough to warrant dissemination to other researchers. Research in progress may be of interest to other scholars in the field. A research approach ending in negative results needs to be shared to save others similar pitfalls. The Anthology section has been established to facilitate these forms of communication. Anthologies provide a means by which short manuscripts of less than 500 words can quickly appear in the AEJ. All submissions are formally reviewed by the Board of Editors. Officially cited as: Atl Econ J