Efficient markets in college football are tested over a 25-year period, 1976-2000. The market in general is found to be efficient, but betting on underdogs of more than 28 points violates a fair bet. The strategy of betting home underdogs reveals stronger results. Home underdogs of more than seven points are found to reject the null hypotheses of a fair bet over the last 10 years of the sample, 1991-2000. Home underdogs of more than 28 points are found to reject the null of no profitability during the same time frame.
ASJC Scopus subject areas
- Economics and Econometrics