Payroll Disparity Among Major League Baseball Teams
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Payroll Disparity Among Major League Baseball Teams
Author | : Sarah Holtschneider |
Publisher | : |
Total Pages | : 30 |
Release | : 2020 |
Genre | : Baseball teams |
ISBN | : |
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There has been an inequality in payroll among Major League Baseball teams for many years that became increasingly evident in the late 1990s. Revenue disparities among teams cause a competitive imbalance for the league and make it harder for small-market teams to compete with large-market teams with much higher payrolls. MLB has attempted to alleviate this disparity, but the implementation of revenue sharing and the competitive balance tax alone is not enough for small-market clubs to build a competitive team. There are a number of ways that small-market clubs can build a competitive team despite limited resources, including employing the moneyball hypothesis, quantifying market inefficiencies, utilizing the team’s farm system, taking advantage of trade opportunities, and making intelligent contract decisions.