Discussion Papers In Economics
And Business

Racers’ attractive looks, popularity, and performance:
How do speedboat racers react to fans’ expectations?
Eiji Yamamura
Ryohei Hayashi
Yoshiro Tsutsui
Fumio Ohtake

Discussion Paper 18-28

Graduate School of Economics andOsaka School of International Public Policy (OSIPP)
Osaka University, Toyonaka, Osaka 560-0043, JAPANRacers’ attractive looks, popularity, and performance:
How do speedboat racers react to fans’ expectations?
Eiji Yamamura
Ryohei Hayashi
Yoshiro Tsutsui
Fumio Ohtake

Discussion Paper 18-28
October 2018

Graduate School of Economics andOsaka School of International Public Policy (OSIPP)
Osaka University, Toyonaka, Osaka 560-0043, JAPANRacers’ attractive looks, popularity, and performance: How do speedboat racers react tofans’ expectations?

Eiji Yamamura, Department of Economics, Seinan Gakuin University
Ryohei Hayashi, Department of Political-Economics, Tokai University§
Yoshiro Tsutsui, Department of Economics, Konan University†
Fumio Ohtake, Department of Economics, Osaka University¶
Abstract
Using a large sample of individual-level records in Japan speedboat racing where men
and women racers participate, we investigated how racers’ performance meets fans’ prerace expectations. To control for endogeneity bias, we measured the order of racers’
attractiveness randomly determined in each race and then used this order as instrument
for measuring racers’ popularity. The fixed effects IV estimations revealed the following.
(1) Racers who are more attractive than their competitors tend to be more popular evenafter controlling for the condition of the race, racer ability, and other characteristics. (2)More popular men show better performance in the race even if the reward does not vary
according to popularity; such tendency is not observed for women. This study contributes
a novel setting for determining the expectation enhancing effects of physicalattractiveness.
Keywords: Beauty; Race betting odds; Popularity; Performance; Gender difference;
Tournaments
JEL Classification: J16; L83; M52
 yamaei@seinan-gu.ac.jp§

pey@ryohei.info
tsutsui@center.konan-u.ac.jp¶
ohtake@econ.osaka-u.ac.jp†

11. Introduction

In the labour market, it is critical to consider the mechanisms of how and why people
are motivated by incentives. The expected return, such as earnings, from performanceleads individuals to make an effort to improve their skill, accumulating human capital.
Other factors influence earnings. The seminal work of Hamermesh and Biddle (1994)
provided evidence that the degree of an individual’s attractiveness is positively related totheir earnings. Various other researchers have subsequently analysed the influence ofbeauty in the labour market (Doorley and Sierminska 2015; Fletcher 2009; Parrett 2015;
Price 2008) 1 . Physical attractiveness derives sizable rents, considered as a beauty
premium reflected in the level of earnings in the labour market (Hamermesh and Biddle
1994). This effect of beauty can be attributed to two reasons (Biddle and Hamermesh1998). The first is that employers simply prefer to employ attractive-looking applicants
for s job 2 . The second is the production-enhancing effect, which states that physicalattractiveness directly increases productivity. For instance, attractive-looking attorneys
more easily obtain social skills, which are effective for convincing judges and juries.
Physically attractive workers possibly have better communication skills, which increase
their wage through interaction with employers (Mobius and Rosenblat 2006). In the case1

The roles and impact of beauty in various real-world settings have been examined, such as

happiness (Hamermesh & Abrevaya 2013), charitable giving (Jenq et al. 2015), fund raising (Price2008), political election (Berggren et al. 2010; 2017; King and Leigh 2009). Experimental
methods have been applied to consider the influence of beauty (Andreoni and Petrie 2008; Eckel
and Petrie 2011; Mobius and Rosenblat 2006).
2

Discrimination effects are observed in various settings. Teachers tend to devote more attention

to better-looking students (Hatfield and Spencer 1986). Charitable giving increases with thephysical attractiveness of female solicitors involved (Landry et al. 2006).
2

of professional sports, the more physically attractive players who play well are more
likely to have opportunities for additional earnings through side jobs. That is, beauty
premiums given to attractive individuals depend on their work performance.
Consequently, more attractive players make greater effort to improve their performance,
which is called the effort-enhancing effect of beauty (Ahn and Lee 2014).
The case of professional sports players merits consideration because it enables
scrutiny of the effect of players’ physical attractiveness after controlling for theirperformance3. More attractive-looking American football players are paid greater salaries,
and this premium persists even when controlling for player performance (Berri et al.
2011). In team sports, individual attractiveness influences team performance, aphenomenon reported in the office setting: a worker’s attractiveness is related to thefirm’s performance (Pfann et al. 2000). Meanwhile, an individual’s beauty effects can beconsidered to depend on the team’s, and cannot be analysed individually. In individual
sports, communication skills are proven ineffective at improving performance. Ahn andLee (2014) pointed out that players with better looks can gain wider publicity, which inturn can lead to opportunities for additional earnings. They hypothesized that this effectof attractive looks increases as these players improve their performance; attractive players
thus have strong incentive to improve their performance. They showed that theperformance of more attractive women golfers tended to be better than those scored lower
in attractiveness. In other words, the physical attractiveness of women players boosts their
popularity, which increases the incentive for better performance. They further argued thatbeauty premiums may not be entirely rents. However, their argument cannot be

3

Chess games have provided detailed data to scrutinize the effect of beauty not only on a player’s

probability of winning but also on his/her strategy (Dreber et al. 2013).
3

generalized because no study has examined whether the mechanism holds for maleplayers.
A number of studies have shown the differences in behaviour between men andwomen under the same situation. Gneezy et al. (2003) provided evidence that women areless likely to show their real ability in more competitive environments compared withmen, even if their performance is similar in non-competitive environments4. Using dataon tennis players, Paserman (2010) found the clear difference in performance between
men and women tennis players under great competitive pressure in a setting with large
monetary rewards. Compared with women players, attractive men players are more able
to improve their performance when additional earnings from a side work are large.
Similarly, in speedboat races, men racers are more likely to adopt aggressive strategy
compared with women, leading to improvement in men’s performance (Booth andYamamura 2018).
Studies have analysed the effects of absolute physical attractiveness. However, theinfluence of attractiveness depends on the situation. The most beautiful girl in a highschool that becomes a fashion model or an actress becomes average in terms of looks in
her new world. That is, the degree of beauty is determined relatively, rather thanabsolutely. Relative attractiveness merits more academic interest, rather than the absoluteone. Physical attractiveness leads people to obtain better social skills. It has also beenshown to foster workers’ confidence, leading to increased wage levels (Mobius and4Studies have investigated how performance differs according to gender in competitiveenvironments (e.g. Booth 2009; Cárdenas et al. 2012; Dreber et al. 2011; Gneezy and Rustichini
2004; Gneezy et al. 2009; Niederle and Vesterlund, 2007; 2011). Researchers have also analysed
the gender difference of attitudes towards risk (e.g. Booth et al. 2014; Dreber et al. 2014;
Khachatryan et al. 2015).
4

Rosenblat 2006). Social skills and confidence are formed during a long period of time,and so do not vary depending on the situation. Therefore, these effects are fixed in the
short period. An individual’s relative attractiveness and its effects frequently change if
his/her objects of comparison change. Research has deconstructed the effect into the fixed
effect and the varying one.
The present study aimed to examine the effect of varying relative attractiveness on
individual performance by considering the incentives to meet others’ expectations.
Further, we compared the effects of men’s attractiveness with those of women’s. This
work is the first to analyse bettors’ expectations based on the perceived effects of facial
attractiveness on performance and the related gender difference. Japan speedboat races
provide a setting for a natural experiment for comparing men’s behaviour with women’s
under the same condition (Booth and Yamamura 2018). We intended to analyse uniqueperformance data of speedboat races, in which men and women racers compete in a highly
competitive environment. Our data were in panel form; we gathered information on eachracer’s place in races and recorded time across all races in which they competed. We
analysed a total of 35,759 women race observations and over 429,590 men race
observations during the period 2015–2017. Professional speedboat racers in Japan
number approximately 1,600, including both women and men. Each race had different
competitors. Using the racers’ photographs that were officially open to the public, we
measured the attractiveness and the order of such attractiveness among six racers
participating in a race. In this way, this study determined the relative attractiveness effect,
which varies according to the situation. Then, we analysed how the relative attractivenessinfluences the racers’ performance and compare the case between men and women racers.
In the boat race, the rewards depend on the grade of the race and one’s place in the race,5

but do not differ according to popularity among fans. Thus, we could investigate how
individual racers have an incentive to meet the expectations of others, dictated by racers’
relative physical attractiveness, even when economic return and racers’ skills arecontrolled.
Our empirical strategy was as follows: we assumed that racers’ physicalattractiveness can influence popularity among bettors’ but not the racers’ performance inthe race. Hence, attractiveness was used as an excluded instrumental variable (IV) to
control for the endogeneity bias of popularity in the estimation of the effect of racers’
popularity on performance. The strategy revealed the following. (1) In the first stage ofIV estimation, racers who were more attractive than other competitors tended to be more
popular, as reflected in betting odds, even after controlling for various variables that
captured racer’s ability. (2) In the second stage of IV estimation, the more popular racers
recorded better race times; and (3) more popular men finished with a higher place in races,
even though popularity had nothing to do with their gains. Meanwhile, such tendency was
not observed for women.
The third finding above is of particular interest. Men have a great incentive toimprove their performance in response to expectation from fans even though the return isconstant, whereas women do not have such an incentive.
The remainder of the paper is constructed as follows. Section 2 describes the settingof speedboat racing in Japan. Section 3 presents the construction of data. Section 4
provides the analytical framework of our hypotheses and explains the estimation model.
Section 5 gives the estimation results and our interpretation of the major findings. Section
6 provides our conclusions and implications for future research.

62. Overview of Speedboat Racing in Japan
Himura (2015) is our principal source of information in this section. In speedboat
racing in Japan, men and women racers receive exactly the same intensive training for
one year in only one training school, the Yamato Boat School. Both men and women train
under the same condition and must pass the final examination to be qualified as aprofessional speedboat racer. After becoming racers, they compete in races under thesame rules and conditions.
At present, Japan has 1,600 racers, composed of 1,400 men and 200 women. Thereare 24 speedboat racing stadia mainly located in the western part of Japan. Generally, boatraces are randomly held about four days per week in each stadium; one day sees 12 races.
Six racers compete in a race and are generally composed of same-gender racers. Racers
participate in races in various stadia. The racing circuit is regulated to be 600 metres inlength. A race involves three laps; the total race distance is 1,800 metres. Races areclassified into five grades. The highest grade is Super Grade (SG), followed by Grade I(GI), Grade II (GII), Grade III (GIII), and ‘Usual’, which is the lowest grade. Racers canreceive rewards according to race finish order, from the winner (first place) to the bottom(sixth place). The reward for the first-place winner of SG races is around USD 300,000.
The rewards for the first-place winner in the subsequent race grades are as follows: USD
100,000 (GI), USD 40,000 (GII), USD 10,000 (GIII), and under USD 10,000 (Usual).
The rewards in SG races for the other winners are as follows: USD 150,000 (second place),
USD 50,000 (third place), USD 20,000 (fourth place), USD 10,000 (fifth place), andunder USD 10,000 (sixth place). These rewards decrease as the grades of racers decline.
That is, there are wide variations in the reward offered according to race grade and placein the race.
7

In addition to race grades, racers are also classified into four grades, namely, A1(top grade), A2, B1, and B2 (bottom grade). Racers’ grades are determined by their past
performances: a higher winning ratio leads to a higher grade. The Japanese Motorboat
Association determines race participants. In most SG and GI grade races, A1 racers are
selected to participate5. Inevitably, there is a wide gap in total rewards between A1 racers
and other grade racers during a season. In addition, A1 racers are likely to obtain
opportunities for additional earnings, such as appearance in TV commercials, even though
speedboat racing is not so popular a sport in Japan compared with other professional
sports like football or baseball. That is, A1 racers possibly enjoy the ‘super star’ effect(Rosen, 1981). However, apart from SG and GI races, racers of various grades, from A1
to B2, are evenly and randomly assigned to participate in Usual races. Consequently, in
Usual races, A1 racers compete with lower-grade racers.
The probability of winning a race varies according to the competitors in the race.
That is, the winning probability of an A2 racer is low in a race where the other fivecompetitors are A1 racers. Meanwhile, the winning probability of an A2 racer is higher
when the competitors are A2, B1, and B2 racers. The competitors in a race change in eachrace, and as such, the relative position of a racer’s characteristics, such as his/her grade,is different in each race. The same holds true for the degree of a racer’s physicalattractiveness. A racer who is the most attractive among competitors in one race may be
the least attractive in another set of competitors in a different race. Therefore, physicalattractiveness changes according to races even though a racer’s appearance is fixed. Fansof a specific racer may always bet on the racer regardless of the race, but apart from this5

The exceptional cases that A2 racers participate in SG and G1 races, but only if theirperformance is extremely high during the season.
8

case, popularity, which can be captured by betting odds, depends on the competing racers
and thus varies across races. Popularity is thought to depend on fans’ discrimination basedon racers’ physical attractiveness. Even if the fixed effect of attractiveness is removed by
fixed effect estimation, the relative effect of attractiveness persists because of the relative
position of racers’ attractiveness in each race.
The characteristics of the boat motors, such as maker and type, are the same in allraces. However, a disparity in motor performance has become apparent, attributed todifferences in maintenance and deterioration through races. Such differences in motor
performance have a significant influence on racers’ outcomes in a race. Motor units are
randomly assigned to racers by drawing of lots in every race. Meanwhile, a racer’s laneon the track is also considered a key factor affecting the probability of the racer’s winning.
Generally, racing in an inner lane overwhelmingly confers an advantage. Hence, a racer’s
performance is determined by not only the racer’s ability but other conditions as well.
Therefore, low-skilled racers assigned with a better motor unit and the inner lane have agreater chance to win a race, even when competing with higher-skilled and higher-grade
racers in a race. Inevitably, the disparity in racers’ performance is lessened.

3. Description of data
3.1. Race level data
The study used individual records for the period April 2014 to October 2016. The data
were collected from the online database officially provided by the Japan Speed-boat
Association6. We obtained racers’ performance measured by racers’ place in races and

6

The program of racers is from http://www1.mbrace.or.jp/od2/B/dindex.html. Race results arefrom http://www1.mbrace.or.jp/od2/K/dindex.html
9race time. We sought detailed information on the characteristics of the races, such as
stadia location, natural conditions (weather, wind speed, wave), racers’ grades, lane
assignments, and performance record of motor units assigned to racers7. The database
does not include precise information on racers’ weight (capturing the condition of racers
on the day of the race) and the grade of races. To obtain these data, we used another source,‘Boat Advisor’, a database provided by a private firm8.
The data were subsequently integrated into an original panel dataset for racers and theraces in which they participated. We used racers’ place in races and time record as
measures for racers’ performance. A total of 24 stadia were included in the study, which
cover a wide variety of locations and statuses. For all races held in these 24 boat racestadia, all of the records of racers’ places in races are available. However, in 18 stadia,
racers’ time records are provided only for racers placing the first, second, third, and fourth
places9. Hence, the sample size used for analysing the racers’ time is smaller than that foranalysing the place in the race. We restricted the performance data of racers to the active
list in the first half season of 2017 (from May to November in 2017). We evaluated theirphotos in May 2017, which were made open to the public in the official website of theJapan Speed-boat Association, for measuring the racers’ attractiveness. In a season, 1,300
men and 180 women racers were featured on the official website of Japan Speed-boat
7

Places in races where a motor unit is used are converted into points for a motor unit. Further,

the points differ according to the race grade. The index of a motor unit’s performance is calculatedby aggregating the points before the race.
8

See http://boat-advisor.com [in Japanese].

9

Seven stadia (Suminoe, Marugame, Kiryu, Miyajima, Biwako, Karatsu, and Amagasaki)

provided both the racers’ places in races and time. There was no difference in averagecharacteristics, such as attendance and size of municipality where the stadium is located, between
these six stadia and the other 18.
10

Association10.
During the study period, the average number of races in which each of these racers
participated was 350 for men and 200 for women. The sample for estimation comprised
all those races with complete information on racers’ records. Therefore, in total, thesample size reached 430,000 and 36,000 person-race observations for men and women
racers, respectively. One advantage of this study is that the sample size is far larger thanthe other datasets used to examine the effect of physical attractiveness (Ahn and Lee 2014;
Biddle and Hamermesh 1998; Hamermesh and Biddle 1994; Hamermesh and Parke 2005).
Our sample size is also far larger than that in existing works that analysed genderdifferences in work performance (e.g. Almenberg and Dreber 2015; Buser et al. 2014;
Dreber et al, 2011; 2014; Paserman, 2010).
Table 1 gives the definition of the key variables used for estimations. In most of
the variables, the mean values were similar between men and women. The fixedcharacteristics were controlled in the estimation. Hence, the key variables were the orderof variables among six same-gender competitors in a race. That is, the variables associatedwith order captured the relative position among competitors. Further, racers’ grades were
captured by dummy variables.
Figure 2 illustrates the distribution of men and women racers’ grades. The
percentages of women racers classified as A1 and A2 were remarkably lower comparedwith men racers. That is, as a whole, the racer grade for women tended to be lower thanthat of men. Racers in the highest grade, A1, are more likely to gain opportunities for
additional earnings because they are possibly greatly supported and preferred by fans.

10

See

http://www.boatrace.jp/owpc/pc/data/racersearch/result#dyn-searchResultArea

Japanese].
11[inThat is, they possibly enjoy the super star effect (Rosen 1981) and so have a greater
incentive to improve their performance in races.
3.2. Measurement of physical attractivenessIn the evaluation of attractiveness, we referred to existing methods (e.g. Ahn and Lee
2014; Biddle and Hamermesh 1998; Dreber et al. 2013; Mobius and Rosenblat 2006). On
May 2017, we measured the attractiveness of racers from their frontal head-and-shoulder
photographs wearing the same uniform, which are open to the public on the official
website of the Japan Speed-boat Association11. From the site, we gathered the photos of
1,296 men racers and 180 women racers. We recruited 55 men and 63 women students
from Seinan Gakuin University to evaluate the attractiveness of racers by looking at thephotos. To collect pure physical attractiveness scores not influenced by player
performance, fame, and popularity, we selected evaluators who were not at all familiar
with speedboat racing. They were presented with the photos in random order through theoriginally constructed evaluation system on a computer. The evaluators were asked to rate
the physical attractiveness of each racer on a ten-point scale, with 1 indicating ‘Not at all
attractive’ and 10, ‘Very attractive’. This rating scale was almost the same as that in
Dreber et al. (2013). A total of 118 evaluators rated 1,496 photos racers; each photo was
rated 118 times. Different evaluators had different standards for average attractiveness.
To remove the influence of individually different standards, we used standardized scores.
Hence, we gathered 118 standardized attractiveness scores for each racer, which wereused for calculating the average attractiveness score of each racer. The correlation
between the men and women students’ average scores was 0.75, indicating high

11

Men’s

uniforms

areinblack;(https://www.boatrace.jp/owpc/pc/data/racersearch/index).
12

women’s

are

in

pink

correlation between different groups. Thus, the attractiveness standards were consideredsimilar within the sample.

4. Analytical framework
4.1. Hypothesis
Figure 1 illustrates the analytical framework of this study, including the three key
components: racers’ attractiveness, racers’ popularity in the race, and racers’ performancein the race. The study aimed to examine how racers’ attractiveness influences race
performance by considering the channel through which attractiveness affects racers’
popularity in races. The inverse of betting odds was used to measure a racer’s popularity
relative to that of the five competitors in a race. Individuals bet money on a racer because
they expect the racer to win the race and then earn benefits12. Apart from the expectationof winning, Forrest and Simmons (2008) suggested that bettors tend to have a wager on
their home team. Bettors also tend to lay a wager on attractive racers.
As shown in Figure 1, we tested whether the racers’ relative attractiveness in a race
determines their popularity. Furthermore, we assumed that attractiveness is not correlatedwith race performance. Some researchers might not agree with our assumption because it
is inconsistent with the effort-enhancing effect of beauty (Ahn and Lee 2014). However,in the setting of this study, a racer’s inherent attractiveness does not change and so does
not depend on competitors. After controlling for this fixed effect of attractiveness, we
focused on attractiveness relative to competitors in a race. As such, a racer’s attractivenessvaried in each race. The effort-enhancing effect of beauty is thought to be derived from a12

We used rank of popularity among six racers in a race because data on betting odds were notavailable.
13

person’s inherent attractiveness, which is controlled by a fixed effect in this study.
Moreover, differing from major sports like football, baseball, and tennis, Japan boat
racing is a minor sport, and thus, racers’ side job earnings are very small. Nonetheless,‘super stars’ in this field may be able to earn a large amount of money. To remove theeffort-enhancing channel and super-star effects, we conducted estimations by limiting thesample: we excluded A1 racers.
Popularity and performance may also have reverse causality. A racer’s popularity in arace is determined before the race, whereas the racer’s performance is the outcome of therace. Inevitably, there is a time lag between popularity and performance. Popularity inraces is reflected in the inverted value of betting odds. Popularity depends on a racer’s
performance in past races, which leads to bettors’ expectations. Using a rich dataset, we
controlled for various factors, such as innate racers’ talent, racers’ absolute level of skill,and relative skill among competitors in the fixed effects model, along with otherinformation on race conditions. Specific unofficial information may relate to racers’
popularity and performance. For instance, bettors obtain race information and prediction
through boat racing magazines. Consequently, endogeneity bias occurs. To control for thebias, IV estimation should be used.
In the estimation model, we controlled for endogeneity bias and various factors related
to racers’ ability and performance. Hence, apart from the bettors’ expectation on winningprobability, we analysed how popularity influences racers’ performance. Racers knowing
their own betting ratio, thereby their popularity relative to competitors, may affectmotivation. For instance, racers might have an incentive to meet fans’ expectations, which
could improve their performance. Racers might also unconsciously feel pressure or tensed,
which could lower their performance.
14

The effect of popularity on racers’ performance might not be different among racers
if such popularity reflects only the subjective assessment of bettors on racers winning,which is based on bettors’ information. That is, the effect of popularity might be different
according to racers’ character: a racer’s reaction to popularity depends on his/hercharacter. For instance, under the highly competitive pressure in professional sports,
women tend to display less aggressive behaviour (Booth and Yamamura 2018) and makemistakes (Paserman 2010). If so, women are less able to improve their performance when
they are more popular in a race. Therefore, we opted to split the data of person-race
observations into men and women races to compare the estimation results between men
and women racers.
Based on the argument above, we propose three hypotheses as follows:
Hypothesis 1: Racers’ attractiveness makes them popular regardless of their ability.
Hypothesis 2: Racers have an incentive to improve their performance to meet the
expectation of bettors when they are more popular in races.
Hypothesis 3: The effect of popularity on male racers’ performance is larger than that on
female racers’ performance.
If these hypotheses hold, there may be causality expressed in the black solid arrows
in Figure 1. The effect of attractiveness investigated in this study may be called the
expectation-enhancing effect. This effect is distinct from the productivity-enhancing
effect of attractiveness provided by Biddle and Hamermesh (1998) because there is noneed for social and communication skills to improve racers’ performance. Moreover,prize winnings for racers do not depend on the betting odds; only the benefit for bettors
greatly depends on the odds. Hence, this study does not examine the effort-enhancing
effect of attractiveness (Ahn and Lee 2014).
15

Racers’ confidence derived from their attractiveness possibly influences theirperformance (Mobius and Rosenblat 2006). However, confidence is thought to be formed
through various experiences in the long term and can be accumulated stock. Therefore,
we assumed that confidence does not change across races. Although confidence relates tothe absolute value of attractiveness, which is captured by fixed effects in this study, we
focused on the ranking of racers’ attractiveness in each race, which, we believe, isindependent of confidence.

4.2. Empirical model
For testing the hypotheses, we used the following model, and estimated it with the IV
method taking Attractiveness as the excluded IV.
Yik = α1 Popularik + Xit’B + Yit’C + ei + mk + uik(1)

Before proceeding to IV estimation, let us begin with the explanation of the estimation ofequation (1) regarding Popularity as an exogenous variable. It is necessary to control for
racers’ individual time-invariant characteristics, such as inherent ability and physicalattractiveness. To this end, we employed the fixed effects model in the baseline model.
The dependent variable Y denotes performance of individual i on race k. Place in race andrace time are both relevant information for capturing a racer’s performance. Place mattersmore to the racers and bettors because it translates directly into winnings. Racers want totravel faster than competitors to finish at a higher place. Hence, although there are twodifferent measure proxies, the principal performance covariate is place in races, ranging
from 1 (sixth place; top) to 6 (first place; bottom) in races in which six racers compete.
In the estimation, the inverted log of race time, i.e. 1/log (race time), is used to imply thatlarger values show a higher performance. Popularity is the order of betting odds among16

six racers: 1 (least popular; largest odds) to 6 (most popular; smallest odds)13. α1, thecoefficient of Popularity, is expected to have the positive sign because more popular
racers are more likely to rank higher (better performance).
As found by Yamane and Hayashi (2015), the performance of adjacent competitors
positively influences swimmers’ performances. Therefore, it is crucial to control for orderin skill, which is regarded as a racer’s relative skill to win among competitors in a race.
The row vector Xit captures their controls, such as relative racer’s skill and weight, relative
motor unit performance, and dummy for lane. Unobservable individual time-invariant
characteristics ei are controlled for through fixed-effects estimation. The outcome of boat
racers are greatly influenced by natural conditions because the races are on water and in
an open air environment. mk refers to race conditions, such as wave, wind speed, andweather. To compare results between men and women, we opted to split the data of
person-race observations into men and women races14.
In the IV estimation of equation (1), we conducted closer examinations of the fixed
effects IV model for exploring causality. As explained in Section 3 and illustrated in
Figure 1, the endogeneity bias of Popularityik was controlled by the excluded IV
Attractiveness. From Hypothesis 1 proposed in section 3, in the first stage of the model,
the coefficient of Attractiveness is expected to have the positive sign because more
attractive racers are more popular. For testing Hypotheses 2 and 3, in the second stage,
the coefficient of Popularity suggests whether the effect of popularity relative to that ofcompetitors’ influences a racer’s performance. From Hypothesis 2, the coefficient of
13

We could not obtain betting odds data. Hence, betting odds could not be included as

independent variables.
14

There are races where both men and women racers compete together. We did not include theseraces into the sample.
17

popularity is expected to have the positive sign. Hypothesis 3 leads to the prediction that
popularity’s absolute value for male racers is larger than that for female racers.

5. Estimation Results
5.1.Baseline fixed effects model
Table 2 reports the results of the fixed-effects estimation of the baseline model where
the dependent variable is place in race (from first to sixth). Various control variables were
included in the estimations, although their results are not reported in the table. Results
based on the men racers sample are in columns (1) and (2), whereas those on women are
in columns (3) and (4).
Compared with lower-grade racers, A1 racers are far more well-known and popular, andhave greater opportunity to earn additional earnings, for instance, by appearing in TV
commercials. Therefore, the effort-enhancing effect may occur (Ahn and Lee 2015). A
kind of ‘super-star effect’ is considered to be in the error terms and correlated with both
racers’ performance and popularity, causing endogeneity bias. To remove the effortenhancing and super-star effects, we limited the sample where we excluded A1 racers.
Columns (1) and (3) in Table 2 are on the sample of A1, A2, B1, and B2 racers, whereas
columns (2) and (4) are on sample of A2, B1, and B2 racers. We checked the validity of
Attractiveness as the excluded IV by incorporating it as an independent variable. For
Attractiveness to be valid, it had to be uncorrelated with performance.
Panel A presents the results of equation (1), and Panel B, the results adding
Attractiveness to the independent variables. In Panel B, only the estimates on Popularity
and Attractiveness are shown, although the same control variables in Table 2 Panel A were
included in the estimation.
18

As for Table 2 Panel A, Popularity shows the positive sign and statistical significanceat the 1% level in all columns. This outcome is in line with our inference. The absolutevalue of coefficients was almost around 0.30 in all estimations. Among the independent
variables, Order of racers’ grades and Order of racers’ winning rates captured a relative
racer’s skill using the racer’s and competitors’ race performance records prior to a race.
A larger value of these variables indicated higher skills. In addition, Order of motor units’
performance captures relative quality of motor assigned to the racer. The larger the valueof the Order of motor units’ performance, the better the quality of the motor unit. Thesevariables showed the positive sign and were statistically significant at the 1% level. Orderof racers’ weight captured racers’ relative physical condition. The larger the value of thisvariable, the heavier the racer is. Its coefficient exhibited the significant negative sign,
implying that the heavier racer has a disadvantage in the race.
Motor unit performance and racers’ weight vary per race, whereas a racer’s inherent
attractiveness and grade are fixed and captured by the fixed effects. Hence, the effects ofMotor units’ performance and Racers’ weight could be estimated; they showed thepositive and negative sign, respectively. They were almost statistically significant,consistent with their relative effects. Lane dummies (Lane_2 to Lane_6; Lane_1 isreference) showed the negative sign and statistical significance. This outcome isconsistent with the argument that the racer in the inner lane has great advantage. Dummies
for natural conditions, such as Wave, Wind speed, Fine weather, and Rain, were less likely
to influence place in the race. All racers in a race are in the same natural conditions andso their relative performance (place in the race) is not influenced by them. As shown inPanel B, Attractiveness was not statistically significant at all. Thus, one of the conditionsof the validity of Attractiveness as the excluded IV was cleared.
19

Table 3 presents the estimation results where the alternative racer performance variable,‘inverted log of recorded race time’, is the dependent variable. Popularity showed thepositive sign and statistical significance throughout. Other control variables showedsimilar results to those in Table 2, indicating the robustness of the estimation results. The
exception was the variable of natural conditions, which reasonably showed statisticalsignificance to the race time: the Wave, Wind-speed, and Rain dummies showed thesignificant negative sign, whereas the Fine weather dummy showed the significant
positive one. That is, bad natural conditions deteriorate the time record, whereas goodnatural conditions (fine day) improve it.

5.2. Fixed effects IV model
Table 4 presents the results of the fixed effects IV model, where place in races is thedependent variable. Panel A reports the IV estimation results of equation (1), including
only the estimates on Popularity in the second stage equation (1); all the other control
variables were included in the estimation. For the first-stage estimation, the results of
Attractiveness (the excluded IV) and other control variables are reported.
In the first stage, it is essential to check the validity of excluded instruments, based on
various tests for weak, under, and over-identification. However, in Table 4, the excluded
IV is only Attractiveness, and so the model is just identified. Accordingly, we reported
result of only a weak-identification test. With the exception of column 4, the results ofthe tests rejected the null hypotheses that the equation is weakly identified. In alternative
specifications exhibited in the Appendix, instead of Attractiveness, dummies to capture
racers’ rank of Attractiveness among racers were used as exogenous instruments. Table 5shows the results of weak, under, and over-identification, to indicate instrument validity.
20

Together with the results of the insignificant adding explanation power of Attractivenessto the performances reported above, these results suggested the validity of the excluded
IV. The coefficient of Attractiveness yielded the positive sign and statistical significancein all columns. In the male sample, dummies for attractiveness significantly showed thepositive sign and the coefficient’s values were larger in the higher-ranked racers; in thefemale sample, the dummies did not show robust results. Nonetheless, these observations
support Hypothesis 1.
In the second stage, the sign of Popularity was positive and statistically significant at
the 1% level in columns 1 and 2 for the men’s sample. Popularity showed statisticalinsignificance in column 3 and for the women’s sample. In our interpretation, even after
controlling for the fixed effects and endogeneity of Popularity, men racers improved theirperformance to meet the expectations of bettors. Meanwhile, the expectation does notlead women to improve their performance under the assumption that women cannot
exhibit their usual performance under high pressure. This result is in line with the findingsof Paserman (2010). That is, for women, positive Popularity effect seems to be
neutralized by the detrimental effect of social pressure for women racers. Thus,
Hypotheses 2 and 3 were supported.
From the sample of all men racers, the absolute value of the coefficient of Popularity(0.43) was 1.5 times larger than 0.29 in Panel A of Table 2, indicating reverse causality
from Performance (result of the race) to Popularity (betting odds before the race). It isreasonable to think that a higher Performance causes higher Popularity. Therefore, theendogeneity is considered to cause the over-estimation bias in the fixed effects model;
controlling the bias could reduce the value of the coefficient of Popularity. As shown in
Table 4, the fixed effect IV model showed larger coefficient’s values compared with the21baseline model of Panel A in Table 2. An explanation is that some other mechanism might
be at work between these two variables. We believe the following effect is important:individuals have the motivation to bet on a racer whose probability of winning is expected
to be low because bettors aim at the jackpot (Griffith 1949). Hence, those whose
performances were relatively low might be subjects of larger wagers.
As for the specification where the inverted log of race time is the dependent variable,
Table 6 shows the results of key variables. All the control variables are equivalent to thosein Panel A, Table 4. Overall, the results are similar to those in Table 4. Ariely et al. (2009)
provided evidence on the same by conducting experiments that high monetary rewards
can decrease performance. In professional sports, enthusiastic supporters’ expectation forplayers’ performance generates pressure. Dohmen (2006), in studying professional
football players, reported that players’ performance is negatively affected by the presenceof a supportive audience15. Contrary to the negative effect of supporters, pressure fromthe support of an audience and fans has a greater influence on the referee’s decisionmaking, influencing game outcomes. In sports games, social pressure from supporters forthe home team leads referees to make decisions that favour the home team (Dohmen and

Sauermann 2016; Garicano et al. 2005), whereas games with no audience do not show
the referee’s ‘favourism’ (Pettersson-Lidbom and Priks 2010).
In amateur sports where there are no monetary rewards for winners, some players
might have greater incentive to win, if cheered by a greater number of people. For instance,
individual athletes ‘may be more motivated to achieve Olympic fame when the events are
conducted in front of friends and family’ (Bernard and Busse 2004, p. 414). People

15

Attendance in games does not influence the professional football players’ performance (Bragaand Guillen 2012).
22

support players because of shared identities, such as nationality or locality. The factor
causing spectators to support players is not related to the probability of winning and tomonetary gains from players’ winning. The same holds for our analysis: racers’ physicalattractiveness is not related to racers’ ability or probability of winning. However,
attractiveness causes spectators to support and expect much from the players even if theplayers’ ability and probability of winning are controlled. Bettors have a wager on
attractive racers, all other things being equal. In turn, racers have an incentive to improvetheir performance, although the monetary rewards for racers do not depend on betting
odds. In other words, the expectation enhancing effects of physical attractiveness improvethe men racers’ performance. However, this effect seems to be neutralized by the
detrimental effect of social pressure for women racers. As such, physical attractiveness
indirectly gives men racers a great incentive to improve their performance, resulting in
long-term skill accumulation, whereas in women racers, physical attractiveness does notcontribute to performance and skill accumulation.

6. Conclusion
Monetary and non-monetary incentives cause individuals to change their behaviour. In
the novel setting of boat racing where men and women compete in the same conditions,the unique data allowed us to scrutinize how non-monetary incentives lead to different
outcomes between men and women. Our main research interest was to analyse how racers’
physical attractiveness gives bettors a non-monetary incentive to wager and how racers
react to the expectation from bettors when the rewards of winning do not depend on theirodds ratio (expectation). The major findings through the fixed effects IV estimations wereas follows. (1) Bettors were likely to wager on racers who were more attractive than their
23

competitors. (2) Men racers displayed better performance as a larger number of bettors
wager on them. However, this tendency was not observed for women racers. Thus, animplication is that men have a greater incentive to win even if their rewards are the same,as a larger number of bettors would suffer loss and be disappointed unless the racers win.
Men racers have a motivation to avoid the bettors’ loss and disappointment. In otherwords, men racers attempt to satisfy the bettors who bet on them, which in turn increase
racers’ own utility. Thus, fans’ and supporters’ utility in included in men racers’ utility.
This mechanism generates the expectation enhancing effects of physical attractiveness.
Meanwhile, apart from this effect, women racers tend to feel larger social pressure, which
deters them from improving their performance.
Finally, the remaining issues need to be addressed. Some results using the women’ssample did not show the validity of IV; therefore, results of the fixed effects IV may not
be as reliable as those using the men’s sample. Unbiased results can be obtained by using
an appropriate experimental method for dealing with endogeneity bias. We hope that
future research will explore the issue further.

Acknowledgement
This study was supported by the Joint Usage/Research Center at Institute of Social andEconomic Research(ISER), Osaka University.

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29

Racers’ characteristics (Skill, Gender, etc…),
Competitors’ characteristics
Condition of the race (Weather, Engine, Lane etc…)

Performance
Popularity in the racein the race

Racer’s attractiveness in the race
(Relative position among competitors)

Figure 1. Analytical framework

30

Women

0

10

20

30

40

Men

B2

B1

A2

A1

B2

Grade of Racers

Figure 2. Distribution of racers’ grades

A1 (top grade), A2, B1, and B2 (bottom grade).

31

B1

A2

A1

Table 1. Mean values and definitions of key variables used for estimation
Variables
Place in the race
Recorded time (sec)Attractive
Popular
Order of racers’ grades
Order of racers’ winning
rates
Order of motor unit’s
performance
Order of racers’ weight
Motor unit performance

Definition
Place in the race among six racers: 1 (bottom)–6 (top)Recorded time in the race
Place in the attractiveness index: 1 (bottom)–6 (top)Popularity in the race: 1 (bottom)–6 (top)Number of competitors with higher grade: 0–6
Place of racer’s winning rate in the previous season: 1(bottom)–6 (top)

Men
3.53
112.4
3.50
3.50
4.42
3.50

Women
3.54
112.5
3.52
3.51
4.33
3.52

Place of motor unit performance prior to the race during thecurrent season: 1 (bottom)–6 (top)

3.59

3.59

3.54
32.4

3.54
33.4

Weight (kg)Place of racers’ weight: 1 (bottom)–6 (top)Index of motor unit performance assigned to racer prior to
the race in the current season.
Places in the race where a motor is used are converted into
points for the motor. The points differ according to the race
grade. The motor performance index is calculated byaggregating points before the race.
Racers’ weight

52.0

47.4

Lane_1

Dummy of the first inner lane

0.16

0.16

Lane_2

Dummy of the second inner lane

0.16

0.16

Lane_3

Dummy of the third inner lane

0.16

0.16

Lane_4

Dummy of the fourth inner lane

0.16

0.16

Lane_5

Dummy of the fifth inner lane

0.16

0.16

Lane_6

Dummy of the sixth inner lane (outer lane)

0.16

0.16

Wave

Height of wave (cm)

2.52

2.45

Wind speed

Degree of wind speed (meter/second)

2.78

2.79

Fine weather

Fine day dummy

0.55

0.53

Rain

Rainy day dummy

0.11

0.11

Note: Mean values are reported for men’s and women’s races, respectively. The sample includes races where therecorded times for the fifth and sixth places are not included. The motor performance index is measured by the average
points of races when the motor was used. In each race, points are assigned to the first to sixth places. The points vary
according to the grade of races as well as the place. The winning rate of a racer is calculated as follows: Racer’s placesin the race are converted into points for a motor. The points differ according to the race grade. The winning rate is theaggregated value of the points before the race.

32

Table 2. Baseline estimation (fixed effects): ‘Place in race’ as dependent variable (Panel A).
Estimation results of equation (1).

Popular
Order of racers’ grades
Order of racers’ winning
rates
Order of motor units’
performance
Order of racer’s weight
Motor unit performance
Racers’ weightAll grades(1)
0.29***(0.003)0.09***
0.003)
0.07***(0.003)Men
Excluding A1(2)
0.28***(0.003)0.11***(0.003)0.06***(0.003)

Women
All grades(3)
0.32***(0.011)0.09***(0.010)0.07***(0.009)Excluding A1(4)0.30***(0.011)
0.11***(0.011)0.06***(0.010)0.03***(0.002)0.03***(0.002)0.04***(0.006)0.04***(0.006)-0.02***(0.002)0.002***(0.0002)-0.10***(0.004)-0.01***-0.05***(0.003)(0.009)0.002***
0.001(0.003)(0.001)-0.10***-0.08***(0.004)(0.011)
Reference group-0.04***(0.010)0.002**(0.001)-0.09***(0.011)-0.49***(0.011)-0.58***(0.011)-0.67***(0.011)-0.72***(0.012)-0.75***(0.013)-0.01***(0.003)0.005*(0.002)0.003(0.005)-0.005(0.008)0.20
1,294
429,590-0.41***(0.014)-0.50***(0.014)-0.59***(0.015)-0.66***(0.016)-0.72***(0.017)-0.01***(0.003)0.005*(0.003)-0.002(0.006)-0.003(0.009)0.18
1,001
304,230-0.21***(0.045)-0.33***(0.042)-0.45***(0.047)-0.54***(0.046)-0.61***(0.053)-0.01(0.010)0.01(0.008)-0.012(0.020)-0.005(0.030)0.19
158
28,820

Lane_1
Lane_2
Lane_3
Lane_4
Lane_5
Lane_6
Wave
Wind speed
Fine weather
Rain
Within R-squareGroupsObservations-0.23***(0.035)-0.36***(0.033)-0.48***(0.037)-0.55***(0.038)-0.61***(0.043)-0.01(0.009)0.007(0.008)-0.001(0.017)-0.007(0.027)0.20
182
35,759Notes: *** and ** denote statistical significance at the 1% and 5%, levels, respectively. Numbers in parentheses arerobust standard errors. For convenience of interpretation, values of the coefficient for “number of participated races”
are multiplied by 1000. Control variables include dummies for 4 racers’ grades, 5 race grades, 24 stadia, year, month,and day. These control variables are included in all estimations, but not all results are reported.

33

Panel B. ‘Place in race’ as dependent variable; attractiveness added to baseline model

Popularity
AttractivenessWithin R-squareGroupsObservations

All grades(1)
0.29***(0.003)0.003(0.002)
0.21
1,294
429,590

Men
Excluding A1(2)
0.28***(0.003)0.001(0.003)0.18
1,001
304,230

Women
All grades(3)
0.32***(0.011)-0.002(0.008)0.20
18235,759Excluding A1(4)0.30***(0.011)-0.006(-0.009)0.19
158
28,820Note: Besides ‘attractiveness’, the set of control variables are equivalent to those of Tables 2(a), but not all results arereported.

34

Table 3. Baseline estimation (fixed effects) with ‘inverted log of recorded race times in races’ as
dependent variable. Panel A. Estimation results of equation (1)Popularity

Order of racers’
gradesOrder of racers’
winning rates
Order of motor units’
performance

Order ofweightracers’Motor unit performance
WeightLane_1
Lane_2
Lane_3
Lane_4
Lane_5
Lane_6
Wave
Wind speed
Fine weather
Rain
Within R-squareGroupsObservations

All grades(1)
0.24***(0.005)0.01**(0.005)Men
Excluding A1(2)
0.24***(0.006)0.01*(0.006)-0.02***(0.004)-0.03***(0.006)-0.04**(0.015)-0.05***(0.018)0.03***(0.003)0.02***(0.003)0.02**(0.009)0.01(0.010)0.009*(0.005)0.001(0.001)0.001(0.018)0.008(0.021)0.007***(0.0004)-0.15***(0.007)0.01***
0.009***(0.006)(0.001)-0.15***-0.10***(0.008)(0.021)
Reference group-0.52***-0.32***(0.019)(0.044)-0.61***-0.50***(0.020)(0.048)-0.70***-0.62***(0.021)(0.050)-0.80***-0.76***(0.024)(0.062)-0.91***-0.96***(0.027)(0.070)-0.15***-0.19***(0.005)(0.017)-0.10***-0.11***(0.005)(0.014)0.03***-0.02(0.010)(0.030)-0.11***-0.29***(0.016)(0.040)
0.26
0.27
1,000
182
224,947
27,777-0.60***(0.015)-0.70***(0.015)-0.81***(0.017)-0.90***(0.019)-1.00***(0.021)-0.15***(0.005)-0.10***(0.004)0.03***(0.010)-0.10***(0.013)0.27
1,293
332,946

Women
All grades
Excluding A1(3)(4)
0.28***
0.27***(0.016)(0.019)-0.0060.01(0.019)(0.20)

0.01***(0.001)-0.11***(0.023)-0.27***(0.052)-0.42***(0.060)-0.56***(0.062)-0.68***(0.071)-0.87***(0.080)-0.18***(0.020)-0.10***(0.016)-0.02(0.036)-0.29***(0.048)0.27
158
21,551

Notes: *** and ** denote statistical significance at the 1% and 5%, levels, respectively. Numbers inparentheses are robust standard errors. For convenience of interpretation, values of coefficient and its
standard errors are multiplied by 100. Control variables are dummies for 4 racers’ grades, 5 race grades,
24 stadia, year, month, and day. These control variables are included in all estimations, but not all
results are reported.

35

Table 3. Baseline estimation (fixed effects) with ‘inverted log of recorded race times in races’

as dependent variable. Panel B. Attractiveness added to the baseline model

Popularity
AttractivenessWithin R-squareGroupsObservations

All grades(1)
0.24***(0.005)0.002(0.040)0.27
1,293
332,946

Men
Excluding A1(2)
0.24***(0.006)0.002(0.005)0.26
1,000
224,947

Women
All grades
Excluding A1(3)(4)
0.28***
0.27***(0.017)(0.019)-0.016-0.013(0.014)(0.016)
0.27
0.26
182
158
27,777
21,551

Note: Besides ‘attractiveness’, the set of control variables are equivalent to those of Tables 2(a), but
not all results are reported.

36

Table 4. Estimations (fixed effects IV model), ‘Place in race’ as dependent variable
Men

Popularity
Centred R-square
Attractiveness

Order of racers’ grades
Orderof
racers’winning rates
Order of motor units’
performance

Order of racers’ weight
Motor unit

performance

WeightLane_1
Lane_2
Lane_3
Lane_4
Lane_5
Lane_6
Wave
Wind speed
Fine weather
Rain
Weak-identification(Kleibergen-Paap F stat)
GroupsObservations

All grades(1)
0.43***(0.089)0.20

Women
Second Stage
Excluding A1
All grades
Excluding A1
(2)
(3)
(4)
0.33***
0.19−0.32(0.13)(0.63)(0.95)
0.18
0.19
0.08

0.03***(0.001)
0.19***(0.002)0.22***(0.001)First Stage
0.02***
0.01***(0.002)(0.005)0.21***
0.19***(0.002)(0.006)
0.22***
0.27***(0.002)(0.005)0.01*(0.005)0.21***(0.006)
0.25***(0.006)0.07***(0.001)0.07***(0.001)0.05***(0.003)0.06***(0.003)-0.04***(0.002)0.005***(0.0001)-0.10***(0.002)-0.04***(0.007)0.004***(0.001)-0.08***(0.007)-1.38***(0.004)-1.65***(0.004)-1.81***(0.004)-2.67***(0.005)-3.33***(0.005)-0.001(0.002)0.0004(0.001)
0.004(0.003)-0.003(0.005)328.9-0.03***-0.06***(0.002)(0.006)0.006***
0.003***(0.0002)(0.0005)-0.10***-0.09***(0.002)(0.006)
Reference group-1.56***-1.15 ***
(0.006)(0.014)-1.82***-1.34***(0.006)(0.015)-1.97***-1.52***(0.006)(0.015)-2.78***-2.32***(0.005)(0.015)-3.40***-2.95***(0.005)(0.016)-0.0020.005(0.002)(0.006)-0.002-0.004(0.002)(0.005)-0.0010.01(0.004)(0.010)0.003-0.02(0.005)(0.015)
183.5
7.15

1,293
429,5891,000
304,229158
28,820182
35,759-1.30***(0.017)-1.46***(0.017)-1.66***(0.017)-2.43***(0.017)-3.02***(0.018)0.003(0.007)-0.004(0.006)0.008(0.011)-0.009(0.016)
3.61

Notes: *** and ** denote statistical significance at the 1% and 5%, levels, respectively. Numbers inparentheses are robust standard errors. The same set of control variables are used in the first and second
37stages. The set of control variables are equivalent to those of Panel A of Tables 2 and 3, but not all
results are reported.

38

Table 5. Estimations (fixed effects IV model), ‘place in races’ as dependent variable. Exogenous

IVs are dummies of attractiveness.
Men

Popularity
Centred R-square

All grades(1)
0.53***(0.087)
0.19

Women
Second Stage
Excluding A1
All grades
Excluding A1
(2)
(3)
(4)
0.49***
0.27
0.37(0.117)(0.424)(0.466)
0.17
0.20
0.19
First Stage
Reference group

Attractiveness_1
Attractiveness_2
Attractiveness_3
Attractiveness_4
Attractiveness_5
Attractiveness_6
Weak-identification(Kleibergen-Paap F
stat)
Under-identification(Kleibergen-Paap rk
LM stat)Over-identification(Hansen J-stat)
GroupsObservations

0.03***(0.005)0.07***(0.006)0.09***(0.006)
0.11***(0.007)0.02***(0.006)0.05***(0.007)0.07***(0.008)0.09***(0.008)-0.005(0.016)-0.02(0.019)0.007(0.021)0.03(0.023)-0.008(0.018)-0.03(0.021)
0.004(0.023)0.02(0.025)0.13***(0.008)73.0

0.11***(0.009)40.4

0.05**(0.026)3.22

0.04*(0.029)2.64

364.2
P = 0.00

201.6
P = 0.00

16.1
P = 0.00

13.2
P = 0.02

4.34
P = 0.36
1,293
428,313

2.49
P = 0.64
1,000
302,953

7.99
P = 0.09
182
35,292

6.92
P = 0.14
158
28,353

Notes: ***, **, and * denote statistical significance at the 1%, 5%, and 10% levels, respectively.
Numbers in parentheses are robust standard errors. The same set of control variables are used in thefirst and second stages. The set of control variables are equivalent to those of Panel A of Tables 2 and3, but not all results are reported.

39

Table 6. Estimations (fixed effects IV model), ‘inverted log of recorded race times in races’ as
dependent variable
Men

Popularity
Centred R-square
AttractivenessWeak-identification(Kleibergen-Paap F
stat)GroupsObservations

All grades(1)
0.32**(0.144)0.64

WomenSecond Stage
Excluding A1
All grades
Excluding A1
(2)
(3)
(4)
0.35*
−1.16
−0.99
(0.199)(1.46)(1.69)
0.65
0.62
0.63

0.03***(0.002)275.9First Stage
0.02***(0.002)153.9

0.01**(0.005)4.34

0.01*(0.006)
3.18

1,293
332,946

1,000
224,947

182
27,777

158
21,551

Notes: ***, **, and * denote statistical significance at the 1%, 5%, and 10% levels, respectively.
Numbers in parentheses are robust standard errors. For convenience of interpretation, values of thecoefficient and its standard errors for popularity are multiplied by 100. The same set of control
variables are used in the first and second stages. The set of control variables are equivalent to those ofPanel A of Tables 2 and 3, but not all results are reported.

40