Race, Compensation and Contract Length in the NBA: 2001–2002



We study race and pay in the NBA for 2001–2002. For players who were neither free agents nor on rookie scale contracts, there were large, statistically significant ceteris paribus nonwhite shortfalls in salary, total compensation, and contract duration. But for players under the rookie salary scale (first-round draft picks) and free agents, race effects were small and insignificant. These results suggest discrimination against marginal nonwhite players.