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Demolishing The Nba Salary Cap
By: Edgar Rocha
August 06, 2008
11:00pm Central Time
In a country where monopolies are controlled from occuring to let others have a fair chance too, there resides an association that we call "The NBA". Back when salary cap room was established, everything seemed like the perfect fit. To each its own slice of the cake. This cake further known as the "NBA players" that have entertained us for years. Some slices looking more appealing than others one seems to think. What a perfect gig it seems to be, that everyone is counted as even and receives the same amount of piece and each may do whatever they want with it. But before anyone can take a piece of that cake, disaster happens and slice by slice begins to banish away from the hands of each holding a slice. As if it was a scary movie you begin to look for an explanation and behind you stands the rest of the world smiling...
The NBA faces some problems to address, whether it likes it or not. Those problems being the Salary Cap and its restrictions upon teams. Its seems just yesterday when we saw Childress leave, a sign that may create a ripple affect towards other player movement. For years the NBA has been thought out as the Association to play at. The highest mountain to climb even. And these facts will continue to be true but will we be saying this 10 years from now? David Stern should be content about the world's growing interest in the game. But with mad millionaires and billionaires throwing insane cash at his players, one has to wonder how dangerous this interest could be to the NBA. Throw that, the fact that NBA teams are limited to what they can offer these players, and the rising value of the Euro and this creates a big issue. If that isin't alarming enough Stern, reports state that Lebron James would consider an offer from a European team. Changes are needed to our crippling salary cap system. But even demolishing our salary cap system create problems. Surely bigger markets would lure in the big time players with more money. So its an open challange to what we should do with this issue. For now, ill just enjoy my slice of the cake.
Edgar Rocha
Copyright 2008
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Welcome to the board...
Nice attempt at a write up but honestly, and I see what you are trying to do here, you might want to keep your day job.
And how many times did you need to sign it as written by Edgar Rocha, and saying it is copyrighted just makes me want to make fun of you.
Too nitpick if you are going to say something is copyrighted at least get all of your grammar right and a decent flow to the article. And for the love of God, break it up into small paragraphs.
Take these two sentences, they don't even make sense:
Finally, we all know that there is a problem with the salary cap as the dollar loses its value but if you are going to take the time to write an article at least have something to say about it. You're conclusion that,What a perfect gig it seems to be, that everyone is counted as even and receives the same amount of piece and each may do whatever they want with it. But before anyone can take a piece of that cake, disaster happens and slice by slice begins to banish away from the hands of each holding a slice.
just comes off as admitting that there is no depth or perspective that you can lend us, so why waste our time writing it in the first place. This is a message board where you have to say something outrageous or inflammatory to get a topic going."So its an open challange to what we should do with this issue. For now, ill just enjoy my slice of the cake."
All I got out of that is some cake sounds good right about now.
And No.
Untill stars are leaving I wouldnt worry about it, if the dollar gets stronger it will even lessen the chance player leave.
I would like to see some adjustments to the salary cap, I would like to do away with guarnteed money, go to an NFL type system but keep a hard cap. This gives teams the ability to improve every year and dump guys who are stealing money like Eddie Curry and Randolph from NY.
I would like to see teams be rewarded by staying under the cap by having some sort of added cap room in one yr for stayn under it for 3 yrs in a row.
I think alot of improvments can be made that will help smaller market teams be able to sign big named FAs without overpaying.
This is a nice dude cut him some slack. He's apparently real new to message boards.
However I believe ridding the salary cap would only hurt things worse in the long run.
Thanks for your feedback and will work on things to improve to everyone's likings.
To be quite honest I would hate to be the guy to have to make a decision on the NBA's salary cap. I don't lean more on any decision as to what to do on this subject but just think we need to do something. This is a matter of discussing rather than to make a point.
The thing about Childress is that it's not like there weren't NBA teams that could exceed his Greek offer.
They just a) didn't feel that he was worth that kind of money and b) any NBA deal he received could be matched by the Hawks.
Point well made, but sooner or later these clubs will come to the conclusion that "hey, lets now go after the big fish!" for now though they are just happy to get some nba talent.
Very cajunspur-esque article.
Out of all your writting, I specifically agree with that fact that we should be able to stop slackers and ppl not worth their money, from attaining this money and therefor cutting into the cap room. But what to do about the outside influence that these other big time players are getting. (i.e Lebron James)
I ink on no salary cap.
Im sorry, im new, I don't get the joke/?
There are issues with that as well. Most big fish currently have deals with shoe companies (and other endorsements) that would prefer their guys get the exposure that only the NBA currently provides.
I think the league is much more at risk of losing out on foreign talent vs. an exodus of domestic players. We may see the occasional 3rd tier player (like Childress) jump abroad, but - for the immediate future - I would expect that to be the anomaly, not the norm.
Obviously, eventually, things will always change. To assume that the US will always have an economy that can sustain the top sports leagues (at least in the sports that we care about) is naive at best.
True
Name any other business that operates in a free market capitalist society that gets to just dump "employees" and slackers. If teams wanted to do that, they should have to do what every other company does: fire them and honor their contracts. Just like CEO's have golden parachutes, if you enter into a contract with a player, you need to honor it or negotiate a buy out. Why should front offices who make terrible decisions be rewarded by enabling them to get out easy?
If a regular company makes a bad decisions like that, their stock price plummets and people get fired. The company pays the price. Owners here already get "assistance" if they are not making money and they do not force bad owners to sell their teams or higher better general managers. That is already 10x more help than a company in any other industry gets. Stockholders would have the heads of some of these "companies/teams" if they operated as some of them do and make such poor decisions.
Another thing is that what you are talking about is already in position. You are saying do away with the cap, others say that would be devastating to the league. Good news is the league already took care of that by creating a soft cap. You can pay as much as you want under certain rules, you will have to pay a luxury tax, but you can still do it. You can waive players and negotiate buyouts, what more do you want? The soft-cap is the perfect way to ensure that you can have your cake and eat it to. If the Hawks wanted to pay Childress that much, they could have. They would have to go into luxury tax to do it, but it is a business decision they have to face in the industry in which they operate.
You can pay the player more to keep him but the problem was that the team that swayed him away does not have to follow those rules nor do they have to pay taxes. The fact that non-nba teams can just come in and swoop players away without having to suffer any consequence but the team trying to attain his player does, is not fair! Its not a point of being able to pay him but about fairness to the team that has his rights.
Query for the threads started by that guy, and you'll get it.Im sorry, im new, I don't get the joke/?
It is fair. It is called market value. Willingness to pay. If someone is willing to pay "x" amount for something and you value it the same, that is what you should pay. You could always waive players to make more room to avoid the luxury tax. It is another business decision that everyone in every industry has to make; how much are you willing to pay and do you think you will get the necessary ROI for the risks involved.
To say that other teams do not have to suffer consequences is silly. Over paying is over paying. So if the main market in which a commodity is traded (in this case the NBA) all value someone in a general range and someone comes in a way overpays, there will be repercussions in the future such as: much lower ROI because the returns you get from a player remain about the same, while the price has risen, cornering yourself on what you can do in the future if you want to make the jump to next level players (since you overpaid Childress, you will also have to drastically overpay Lebron, Kobe...and that does eat into your profits) and many other scenarios such as that. Just because you have money does not mean you should overpay for an asset (within reason it is ok, especially when it is an extremely important asset).
If the player isn't under contract, why should they have to suffer any consequence?The fact that non-nba teams can just come in and swoop players away without having to suffer any consequence but the team trying to attain will is not fair.
More than likely you will see the NBA and Euroleague work out a deal similar to MLS and European futbol where the clubs have to compensate one another for a player going to the other league.
As big a prick as Stern is this is right in his wheelhouse and he's already probably working on something like this.
Overpaying is overpaying true, but i just still wish we could somehow tax these teams from taking our talent, but then again they aren't objects and two they probably would want to do the same for their European talents.
In the end, a king dies and another one will soon arisen.
Point being, if there was some rich Russian owner in the NBA who did not care about how much he spent, and valued Childress, he would have paid, even if meant luxury tax. You can not separate the two. Salary = negotiated contract + any other costs associated with the asset. Just like if a farmer buys a tractor. Cost of the tractor = price they paid the dealer + maintenance + gas + someone to operate the vehicle + insurance. You could just consider all of the things other than the price tag at the dealer luxury tax.
I dont think you can do anything about it right now without giving a huge advantage to teams like NY LA NJ CHI......teams that if we got rid of the cap will spend and spend and will dominate every yr. Small and mid market teams will suffer, but if we could as I said before cut scrubs who dont pan out, that will free up money for every team and what would happen is you would have teams paying for performance and the players who dont perform will wash out and end up in Europe.Out of all your writting, I specifically agree with that fact that we should be able to stop slackers and ppl not worth their money, from attaining this money and therefor cutting into the cap room. But what to do about the outside influence that these other big time players are getting. (i.e Lebron James
Lets take Childress for example, he got what amounts to 7 mil pr year....but no one could pay him here for that amount because of the cap. Its not the cap thats the problem its the CRAP. Think about it lets say we coudl dump Bonner, Vaughn, Oberto.....that frees up 7 mil, then we could sign Childress.
The guys we dump would then either resign for vets min or go over seas. This way you keep the good and great players in the NBA and weed out the crap. Its ashame Josh had to leave to get paid cause I think he is a great 6th man. And while he is over seas we are overpaying crappy players. And the leauge is littered with them.
I think this system would work well.
Hawks had his rights and he was a restricted free agent..so other teams had to go above the matched offer..no one wanted to do that though..
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