This NPR Planet Money Indicator podcast episode explores the economic rationale behind the exorbitant salaries of college football coaches. The discussion features interviews with the University of Alabama's athletic director, Greg Byrne, who defends the high salaries based on the football program's profitability and its role in attracting students and boosting the university's brand. However, a sports economist, Andrew Zimbalist, counters this argument, citing data indicating that most athletic departments in top leagues lose significant money annually. Zimbalist attributes the inflated salaries to an artificial market influenced by tax benefits, public ownership, subsidies, student tuition contributions, and the previously unpaid status of college athletes. The podcast concludes by highlighting the historical tension between university presidents and athletic departments over these high salaries and the fact that many universities consider the high cost of football coaches to be a necessary evil.
