What really happens at the end......
Since this debate has come up again on another webpage I am going to explain what happened. Randy “The Ram” Robinson does not die in the literal sense, however his wrestling character dies. Randy could only function as “The Ram,” his daughter hated him, he was broke and the one woman he loved and loved him back he left for one more match that put his health in serious danger. So while he does live, he dies as all he lived for is now gone now that he cannot wrestle.
The match against the Ayatollah is his last match ever and once he leaves the ring his wrestling career will be over. He will no longer be Randy “The Ram” Robinson, but will be Randy who makes a meager living working some blue collar job living in a trailer park. He has nothing else good in his life, all that he lived for was wrestling and being “The Ram.” It is a very powerful metaphor. There were two Randy’s and the one that he liked more died and the one he hated lived.