This article develops a general econometric procedure for determining the amount of rent captured by buyers and sellers of goods produced under any market structure. We use this technique to measure the rents earned by firms involved in the extraction, transportation, and consumption of...

We consider a professional sports league's use of a well-defined incentive mechanism, revenue sharing, to encourage the desired behavior of teams in the league. The incentive mechanism works by internalizing externalities that arise across agents (the team owners). We find revenue sharing to be...