Saturday, October 1, 2022
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MLB lockout: There’s no way to force team owners to put wins over dollars

You cannot legislate to be successful. You can’t even mandate recklessness.

This is the issue with the talks that could eventually end the MLB lockout. One of them is the case anyway. The main problem is the owners’ reluctance to allow their economic power to the players. Also, there’s a massive gap in the numbers of money. This is a huge issue. Even if they could overcome those obstacles and agree to an acceptable compromise, I’m not sure if any new CBA will have the impact that it is claiming to.

The most frequent topic of discussion that originates from players, yet is embraced by the league, is the need to have more “competitive integrity.” Less tanking. Everybody should strive to succeed. This is because the effort or appearance is vital to the mental scaffolding that the sport provides since it usually manifests in money spent.

This hypothetical idea that the financial designers of each team tackle every season with equal enthusiasm is utilized to justify all kinds of policies on the two sides — including the luxury tax, the draft lottery, and even a policy to ensure that there is no manipulation time in the service. But it’s just it’s a figment of imagination. The assumption that winning will be the essential reward isn’t the case in MLB. It’s been for quite a while, even if it was.

The issue isn’t because baseball is a business. Instead, the baseball business is becoming increasingly separated from the product on the field.

Experts in economics than I do have written about this topic extensively. The way that centralized revenues, broadcast contracts, streaming rights, and real estate developments in ballparks generate substantial revenues that are not tied to actual attendance. Soon, there will be betting options and sportsbooks within stadiums. Be aware that even the worst teams are great investments.

However, this doesn’t mean that winning isn’t an important aim, or perhaps profitable to the bottom line gate receipts and in-stadium sales continue to make up large portions of overall revenue. Being able to win efficiently remains the ultimate goal, but when cash is also made from loss, the efficiency aspect has priority.



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