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Baseball Finance Reform: Time to Cut A-Rod's Salary
When the Philadelphia Phillies lost the World Series to the New York Yankees last night, I felt anger, heartbreak, frustration and the burning desire for a salary cap in Major League Baseball. Of course, I’m happy for those who saw their team win the World Series. But in the 108 years that the Yankees have been around, they’ve won the World Series a whopping 27 times. That's right: 25 percent of the time. And in the 126 years that the Phillies have been around, they've won twice. Yep, two percent of the time (rounded up).
And that's no mistake. In the past decades (and the foreseeable future) the Yanks have held a crushing financial advantage over all other major league franchises. This year, for example, the Yankees spent $208 million on player salaries, more than $60 million more than the second highest-paid team (The Mets) and nearly what the Phillies spent on their payroll ($111 million). A-Rod alone made $33 million this year, nearly a third of the entire Phillies payroll.
Baseball needs a salary cap. Think of it like campaign finance reform in politics. If the world’s richest donors could shovel all their cash to a single candidate, that person would flood the market with advertising and crush his or her opponent. But the government has deemed this unfair because it elevates the influence of rich voters above poor voters. Without a salary cap, the MLB elevates the hopes of fans in rich cities over fans in poor cities. Baseball is supposed to be about home team rivalries and anxious competition, not the size of each team's checkbook. Forgoing a salary cap allows rich teams like the Yankees to swallow up promising talent when it matures, which is too un-American for America's favorite past time.
Raise the top marginial income tax rate to 70%
tagged as:- solution
This is the best salary cap ever made.
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What a lazily written
What a lazily written post...
First paragraph talks about how the Yankees have won 25% of championships due to thier financial largesse...Really? They won it back in 1927 due to a lack of salary cap? Or 1961? If you want to make your argument, please use the whatever time period that you believe the Yankees started dwarfing other teams in terms of payroll...
Then we play the "Let's compare how much A-Rod makes to something arbitrary" argument. News flash, the top 3 players on the Phillies make up over 33% of thier payroll. How about Melky Cabrera is making <$1MM...does that mean the Yankees are spendthrifts?
The Phillies beat up on a team that they doubled in salary in 2008 (Rays) and the Red Sox beat up on a team where they had a 3-1 payroll advantage in 2007 (Rockies)...yet no one screams for salary caps. The Yankees beat a team that is #7 in payroll themselves and everyone screams "Unfair!"
And by the way, it might not be a hard cap, but the Yankees are constrained by an agreement where they have to share revenue w/ smaller market teams (regardless of payroll) and they have to pay a luxury tax to smaller teams based on payoll...and what do the smaller teams do with the largesse they are provided? They bank it and say thank you and continue to field $30 - $50MM payroll teams...I guess you would prefer the Yankees stop giving out these payments, cap thier payroll at $125MM and pocket the rest of the cash as profit...and you would still have the Rays, Royals, Pirates, Nationals, etc...still only fielding $40MM teams and you would still be complaining about unfair financial advanatge...
Ugh...I hate it when the Yankee Haters come out of the woodwork to bemoan the state of baseball only when the Yankees actually win (which is becoming rare these days). You guys would have much more credibility when you cry when the other "big market" teams also trounce the small markets...
…and one last
…and one last comment…Since when is baseball supposed to represent democracy? Analogizing the need for a salary cap to campaign finance reform? Really?
Baseball does have rivalries and competition…There are a small handful of teams that are consistently uncompetitive and that is due to poor management as much as financial hardship.
The other leagues have caps and yet somehow certain teams seem to continually lose year after year…The NY Islanders in NHL…The Clippers in NBA…and its been a while since the Lions have fielded anything closely credible in the NFL. How can this be w/ the financial parity those leagues have?
Does money play a role in winning and losing? Sure it does, but let's not reduce winning and losing solely to who has the fatter wallet. It demeans the game and the people who play in it.