I disagree with everything you typed. But I'm not going to get into it point by point tonight. Except that I sort of am.....
Alabam's athletic department revenues were around $125-130 million for that year. The football program made up less than half (around 40%.) Does Alabama offer more than 212.5 athletic scholarships in a year? If not then my numbers more than account for the difference.
The comparison is valid because major college football is a business. It is designed to make money. It makes money by having the athletes play a sport. Thus athletes=labor. That they are not official employees or compensated as such strengthens my argument.
All of the future earning potential stuff is superfluous. Each university sells those same services to students for a price. That price is covered by the scholarship. Mostly. In no other circumstance do the universities profit off of their students work.
Try this analogy. If you were a math major on an academic scholarship and you solved the Beal Conjecture should the university be able to exclusively profit off of your performance without giving you any compensation due to your status as a scholarship holder? (as a note a solution or counter to the Beal Conjecture carries an award of 100K.) If you knew they would before you signed there and had offers to go to schools that wouldn't how would that effect your decision?
Ultimately my point is this. The NCAA athletic system was set up before anyone knew or could have known how much of a money maker it would be. It's by laws are now antiquated based on the money it makes. When that much money is in play and a large percentage of the people responsible for making that money are getting short changed with respect to everyone else there are going to be problems.
It will never be a fair split. Never. I doubt any group of people would ever be able to agree on what a fair split is. It seems like the NCAA and its member institutions could do more though and that if they did more they might have fewer headaches. Closing the scholarship gaps, setting aside some money from merchandising sales in escrow accounts to be paid upon graduation, and allowing modest stipends would remove a lot of the temptation at a very small price. It would at least be more equitable.
You disagree with
everything I said?! How sad. Ah well... Here goes:
On Revenue and profit sharing - This was a fundamental point for both of us, you just neglected to recognize a basic but important point: there is a huge difference between gross revenue and net profit/loss. This has a direct effect on how a football program can effectively pay for other programs. For 2009 - the last year that ALL data is available - Alabama reported gross athletic department revenues of $103.9MM (million); the football program had gross revenues of $64.6MM. The football program also had a NET PROFIT of $38.16MM, while the total athletic department profit was only $4.1MM. That means the rest of the athletic program had a compostie NET LOSS of $34.06MM. I realize that a couple of other sports are not net losers, but their net gains are negligible relative to football. Therefore, the football program essentially covers all other sports that operate at a loss. So, on your point of "labor" sharing the profit: If the football players were to share the profit, do the players of the other sports have to reciprically cover the losses? Further, the vast majority of D-1 schools have a net loss. How do you profit share at those schools where there is no profit? Raise the tuition on the other kids?
On Players as "Labor" - Student athletes, by definition and regulation, are not employees. Period. Just the facts. Therefore, they are not labor; no payroll, no payroll tax, no Social Security, no Medicare, no withholding, etc. It may be fashionable to try to paint the "labor" picture to dramatize the point, but the simple facts are just that - simple facts. Students are not employees.
On Future Earnings/Profiting off of Students - While I'm sure your reference to the Beale Conjecture is highly impressive to mathematicians, it is also a highly impractical example regarding the original point. You essentially said originally that only athletes generate revenue for a University (let's not get into the fact that MOST athletes LOSE money for a school considering the facts above). How about a more practical example than your Beale Conjecture? Let's say I am in chemical engineering and I just developed a new catalyst that solves the energy problem. Do you think the school will profit from that? Damn right it will; because it owns the IP and it will patent it and sell it. Do you think such a school stands to get more grants and government contracts as a result? Damn right. Are athletes the only ones that generate revenue? Absolutely not. AND for the vast majority of schools that don't make Alabama football money, those royalties, grants, and contracts are a MAJOR part of their revenues. (Was your Beale Conjecture solved in a University classroom, using University materials; computers, chalkboard, etc.? Guess who owns that solution?)
Also, in your first post, you stated that the value of a football player's scholarship was $35k which including all players only represented 5.5% of football revenues. But my point was that there is alot more to it than that $35k. You have to consider exposure, the value of the degree, access to employers (including the NFL) that a person would not otherwise have, etc. Future earnings are absolutely relevant: what if my Dad is not a rich genius mathematician like Foshman and I can't afford to go to college without that scholarship? My future earnings potential statistically are significantly reduced.
"major college football is a business. It is designed to make money" - Again, facts are facts. The vast majority of D-1 schools LOSE money on football. Why do they keep playing? Because they would lose more by way of reduced exposure for advertising $$$ and reduced demand for enrollment without a major football program.
The NCAA Set-up and Antiquated By-Laws - I completely agree that the current system was set up long before anyone could even anticipate the obsene amount of money the machine would generate. I also agree that the current by-laws and all associated regulations are generally antiquated and, on top of that, enforced inequitably. My main point behind all those numbers is that changing the amateur status not only doesn't solve anything, it makes it worse. With most schools losing money on athletics and most sports losing money individually, how do you fairly compensate equitably across the board? You mentioned fairness in your original post. Is it fair to pay the captain of the curling team less than the star running back? For that matter is it fair to raise tuition on all the other students to pay all the athletes at those schools where sports lose money? For that matter, is it fair to pay athletes on scholarship and not students paying their own way?
Look, Fosh, I admit, I enjoy a healthy debate; I am not completely oblivious or insensitive to your side of the issue. But I do think that keeping student athletes amateurs and not treating them any more specially than the kid that had to borrow $50k to get his degree is really important. To do otherwise is going to open up a serious can of worms that will be difficult to step back from. Today's student athlete needs to take more responsibility for appreciating the gift/opportunity a football scholarship is. Major in something substantial and get the degree.