NIL is good for college athletes

Many people watch sports, both college and professional. With such high college viewership, it was long argued that athletes should be paid. As of July 1, 2021, NIL deals — allowing athletes’ names, images and likenesses to be used in advertising and merchandising — were finally legalized after years of dispute. Before this, colleges profited from athletes without them seeing a penny. With NIL now legal, athletes can sign contracts with brands they choose. This not only lets student‑athletes earn money for their performances, but also opens a new market, giving them the chance to “go where the money is,” gain financial knowledge and support lower‑income athletes. Combined with the 2018 transfer portal, it is now far easier for athletes to move where they can best support themselves and their families.

This shift does two major things in athletics and economics: it removes schools’ monopoly power over athletes’ names and images, and it creates a true labor market where better athletes can earn more, helping measure performance. By losing that monopoly, schools give athletes the right to control their own branding. Athletes can now negotiate with companies over what they believe their skills are worth, much like an employee bargaining with a potential employer.

Nathaniel Nordwind-Caraballo

St. Charles