If you want a better national side send players away and hire a domestic manager

by Declan Jordan

The debate on immigration that has seemed to dominate British politics recently also has its echoes in football discussions. I have even in Ireland heard how there are too many foreign players in the English game. When I point out that Irish players are also foreign in the English game this prompts an exception. Even at the top of the English game the argument for limiting the number of foreign players seems to be getting traction - despite the lack of evidence and faulty logic. 

The emphasis in English commentary is on the number of players immigrating into the Premier League. This is probably because so few English players emigrate to ply their trade in foreign leagues. So while the argument goes that it may be bad for the English national side to have so many foreign players blocking chances for local players to progress, there is a corollary there that the English national team may benefit from English players going to play in other leagues.

I was pleased to come across a paper in the area in Applied Economics Letters co-authored by Grant Allan and John Moffatt from Strathclyde and Durham respectively. Grant is a colleague of mine in the Regional Science Association so we have even more to discuss at our annual conferences.

The implication of the study for English football is to embrace the 'other' aspect of openness of international labour markets by encouraging English footballers to play abroad, broadening their experience and developing skills and awareness. The paper considers two phenomena - muscle drain (the loss of players to foreign leagues) and brain gain (the hiring of foreign managers to manage the national side). The paper considers the effect of these two issues on national team performance.

The paper finds, using data on national team ranking, league standing and numbers of foreign-based players and imported managers, that the 'player export' variable is robustly positive and significant, suggesting that having players playing abroad has a beneficial effect on the national team ranking. The 'manager import' variable however is negative, suggesting that there may be cultural differences between players and managers that may be difficult to surmount.

It's interesting to consider these findings in the context of performances at this year's World Cup in Brazil. In their squad England had one foreign based player - Fraser Forster the third choice goalkeeper who plays with Celtic in Scotland. Of the semi-finalists, Brazil had 19 players out of 23 playing outside Brazil, Germany had 7 playing abroad (in England, Italy and Spain), Argentina had 20 playing abroad and the Netherlands had 13 playing abroad. Of the other teams in their group, the number of domestic players in each squad were 20 for Italy, 10 for Costa Rica, and 1 for Uruguay. The latter two qualified for the quarter final. This is an interesting site for data on this. 

While England had an English manager at a World Cup for the first time since 1998 it wasn't enough to overcome the 'player export' variable. Maybe it's worth noting that that the semi-finalists all had domestic managers too.