![econlifelogotrademarkedwebsitelogo[1]](/wp-content/uploads/2024/05/econlifelogotrademarkedwebsitelogo1.png#100878)
The Olympic Medal That Makes People Mad and Sad
August 4, 2024
Why Olympic Ranking Criteria Could Omit the Best Countries
August 6, 2024
Hong Kong’s gold medalists will get approximately $638,000 from their country while Singapore gives nearly $740,000 to its top winners. At the same time, gold medalists from the U.S. team get $37,500, silver, $22,500, and bronze, $15,000. (And they owe no U.S. income tax on the compensation–as long as they earn less than $1 million.) On the other hand, the U.K. and New Zealand are among those that give nothing.
Now though, because of a decision from the group that oversees track and field competitions, every athlete will get medalist pay.
Medalist Pay
During April, the International Olympic Committee announced a $2.4 million prize pot. Coming from World Athletics, the plan allocates $50,000 to the gold medalists in events that include track and field, road runs, walks, marathons, and the pole vault. The relay teams split the $50,000. A month later, the International Boxing Association said it too would offer financial compensation to Olympic medal winners.
Both groups say the athletes deserve compensation because of the revenues they generate.
Our Bottom Line: What We Shouldn’t Pay For
Coaches, equipment, places to practice, and travel are all expensive. Yes, some athletes receive subsidies from countries and associations that absorb their costs. Others do not.
However, we can wonder if medalists’ compensation falls into the category of the acts and commodities that should not be paid for. After all, we don’t give $50 to Aunt Camille for inviting us to her Thanksgiving dinner. In the U.S. organ recipients cannot pay for kidneys and hreats. Also, we can debate if children should be paid to read books or for high test scores.
Harvard professor Michael Sandel reminds us that we need to retain the values that markets and money ignore. He takes us to the bigger question of where supply, demand, and prices belong.
Is it the Olympics?
My sources and more: NPR and Reuters have the summary facts about medalist pay.. But, do move onward to the Michael Sandel book. Thought provoking, it is worth our time.
