Understanding The MLB Salary Cap
from Expanding The Playbook Hosted by Devron Taylor & Jory Opp
Why is Major League Baseball the only major American sports league without a salary cap? And is that actually a problem? In this episode of Devron and Jory break down the business behind Major League's baseball (lack of a) salary cap. We dive into the unique economic structure, from the luxury tax and revenue sharing model to the growing financial gap between big-market and small-market teams as well as the arguments for and against a harder cap cap, and what could be at possibly happen in the league's next collective bargaining agreement. Side note, this was recorded far before the MLB Postseason. With that being said the post season has been filled with those lower payroll teams winning series, but the sentiment remains. Those smaller market teams still have a much smaller margin for error.
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