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Bruce Dowbiggin

MLB Economics: Ten Pounds of Sand In A Five-Pound Bag

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One might think that, in times fraught with Covid-19, civil unrest and schism politics, the people entrusted with diverting the population for a while might put aside their differences to supply a little entertainment.

If you think this you have not met the people in Major League Baseball. Instead of watching the debate in Parliament the past few days we might have been poring over the first reports from spring training in Florida and Arizona. We might have been speculating if this is the year the Blue Jays return to the World Series for the first time since 1993. But it’s not happening.

That’s because the owners and players in #MLB have chosen this time to resume their periodic border war over the economy of the sport. Since Curt Flood and Catfish Hunter led the way to free agency in baseball in the 1970s, the owners have been pining to restore the previous balance when they paid players as they pleased, and the stars of baseball were forced to accept.

More to the point, MLB once more wishes to crush the MLB Players Association, the most powerful of the pro sports unions. The unions in NHL, NBA and NFL have been smashed by owners in those sports, allowing for salary-cap regimes that range from draconian to merely intrusive. Getting MLBPA to submit has been a longterm goal for baseball owners as a result.

But repeated labour stoppages soured the public on baseball, culminating in the disastrous 1994 cancellation of the World Series (with the Montreal Expos set to win.) Since that blunder baseball kept its labour disputes from disrupting regular season games That idyll ended in the most recent prior dispute between MLB and the players’ union in 2020 as players and teams debated how to restructure a season affected by Covid-19.

But the temptation to squabble is too strong, and so owners want to again try the solidarity of players, locking them out last December. This time the the league and the union are at loggerheads over compensation for young players and limitations on tanking— losing on purpose to receive higher selections in the amateur draft. They are dealing with a situation where 10 players are making more than $33 million a year while the average salary stood at $4.17 million U.S. in 2021. And this offends many in the business.

Because, as we say in our book Cap In Hand (brucedowbigginbooks.ca/book-capinhand.aspx) owners want to talk like capitalists but act like socialists. Their challenge in trying to expand their leagues to 30-plus teams— while assuring competitive balance— is that getting small markets Pittsburgh, Milwaukee or Kansas City to compete on an ongoing basis for free agents with New York, Chicago for Los Angeles is a fool’s errand.

To paraphrase an old expression, it’s like trying to put ten pounds of sand into a five-pound bag. Yes, there are smaller markets— notably the Tampa Bay Rays— who have found ways to circumvent their financial handicaps. But the dynamics of consistently winning a World Series or even making the playoffs are monumental. For that reason owners are seeking an expanded postseason which would allow 14 of the league’s 30 teams to reach the playoffs.

The current success of the LA Dodgers ( 3 NL pennants in five years) set against the systemic failure of Pittsburgh (with just one postseason win since 2010) highlights the frustration for owners and fans alike who wish to chase the unicorn of parity. The idea that any team can win on any given Sunday still has its adherents.

But this latest lockout speaks to the futility of the franchise model. The consumer has changed and the means of distributing the product has changed with it. The problem, as we point out in Cap In Hand, is that “no longer does a league need a team in every town to spread its product. Soccer has demonstrated that the sports world has morphed from the overstocked inventories of the franchise model to one based on matchups of elite teams populated by elite players.

“Without a salary cap, the beautiful game has allowed for the growth of super teams in smaller leagues. There is no parity in soccer, just the unending quest for the best product possible. As a result, the sport has finally made a breakthrough in North America.”

The breakdown of the conventional media delivery system, betting and the potential for profit has made all sports global. Fans/ bettors in Europe or Asia want to see the best teams, not Pittsburgh versus Milwaukee on a Tuesday night. What becomes of those teams? Don’t eliminate them the way the Expos were vaporized. Simply have teams play at the financial level they can afford. Concentrate the best players in the markets that can afford them. Have relegation and promotion.

Until the owners in MLB— and the other sports— grasp this simple proposition we are doomed to this cycle of defying market economics in the service of salary caps. Hope that keeps baseball fans warm till MLB cranks up again toward the end of April.

 

Bruce Dowbiggin @dowbboy is the editor of Not The Public Broadcaster (http://www.notthepublicbroadcaster.com). The best-selling author was nominated for the BBN Business Book award of 2020 for Personal Account with Tony Comper. A two-time winner of the Gemini Award as Canada’s top television sports broadcaster, he’s also a regular contributor to Sirius XM Canada Talks Ch. 167. His new book with his son Evan Inexact Science: The Six Most Compelling Draft Years In NHL History is now available on http://brucedowbigginbooks.ca/book-personalaccount.aspx

BRUCE DOWBIGGIN Award-winning Author and Broadcaster Bruce Dowbiggin's career is unmatched in Canada for its diversity and breadth of experience . He is currently the editor and publisher of Not The Public Broadcaster website and is also a contributor to SiriusXM Canada Talks. His new book Cap In Hand was released in the fall of 2018. Bruce's career has included successful stints in television, radio and print. A two-time winner of the Gemini Award as Canada's top television sports broadcaster for his work with CBC-TV, Mr. Dowbiggin is also the best-selling author of "Money Players" (finalist for the 2004 National Business Book Award) and two new books-- Ice Storm: The Rise and Fall of the Greatest Vancouver Canucks Team Ever for Greystone Press and Grant Fuhr: Portrait of a Champion for Random House. His ground-breaking investigations into the life and times of Alan Eagleson led to his selection as the winner of the Gemini for Canada's top sportscaster in 1993 and again in 1996. This work earned him the reputation as one of Canada's top investigative journalists in any field. He was a featured columnist for the Calgary Herald (1998-2009) and the Globe & Mail (2009-2013) where his incisive style and wit on sports media and business won him many readers.

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Bruce Dowbiggin

On The Clock: Win Fast Or Forever Lose Your Chance

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Play this drinking game. Every time some football analyst on TV says during the course of a game, “He’ll be a star for this team for years” take a drink. You’ll be tipsy in a hurry.

Maybe in the old days, Skip. But the concept of the players you’re loving now lasting very long with NFL, NHL, NBA or even MLB teams has come and gone. The new model was never more apparent as when the NFL No.1 seed Detroit Lions, replete with young stars, were blindsided from the NFL playoffs by upstart Washington’s rookie QB Jaden Daniels.

Heavily favoured Detroit (10 point favourites in some places) was loaded with superstars on their first contract. Jahmyr Gibbs, Jameson Williams, Amon-Ra St. Brown, Penei Sewell, Aidan Hutchinson (injured), Sam LaPorta, Jack Campbell and Ali McNeil (injured). Added to veteran QB Jared Goff and a sprinkling of veterans they seemed perfectly balanced.

Except the new mantra says you can only win a Super Bowl in this time of salary-cap hell with a HOF QB or a QB on his affordable rookie deal. Goff is neither, and to emphasize the mantra he threw four picks and fumbled once en route to the heartbreak loss. The dynasty turned into as ‘die-nasty”.

In the old days you’d just say “we will get them next year” and hope for better luck. But within two years the Lions will have to do a painful triage of their glittering young stars. You can’t pay them all, so who will go and who will stay? Adding to the misery of the salary-cap mandated chop will be can you get value for them in trades?

The Lions are far from the only ones dealing with leagues that value parity ahead of dynasty. In the NHL the Edmonton Oilers and Toronto Maple Leafs are hearing the steady tick-tock counting down on the NHL’s cap machine. The two clubs lost consistently for a decade to score top picks in the draft. Riding the skills of Conor McDavid and Auston Matthews they’ve brushed up against a Stanley Cup but have yet to do the deal.

As every fan of the teams knows it’s a race to add the proper players to the roster to compliment the young stars before they get too expensive. McDavid is an unrestricted FA after 2025-26 and as the league’s top star he will command the maximum under the salary cap where ever he lands. If that’s Edmonton he and Leon Draisaitl will be added to Darnell Nurse, Zach Hyman, Ryan Nugent Hopkins as a large portion of the cap. Can the Oilers balance these stars and still pay defensemen and goalies?

Ditto the Maple Leafs who have Matthews, William Nylander, Mitch Marner, Morgan Rielly and Chris Tanev hogging the top end of the cap. Can they find the right pieces at a cheap price to create a team that will reach the Final, let alone win the Stanley Cup? And can they do it before their core players start to decline?

For those reasons, NHL teams and players were fixated on the news that there will be no more escrow deductions taken from players the rest of the season. That led many to surmise that the salary cap will be going up significantly for the next few years, allowing teams more latitude to complete rosters and elite players to be paid their worth to the league. Even if true the increases will be proportionate, forcing the same constraints of a cap at the top and bottom of payrolls.

None of these economic concerns seem to bother the defending World Series champion Los Angeles Dodgers. With just a luxury tax, not a salary cap, to restrain them the Dodgers have added Japanese star Riki Sasaki and bullpen ace Taylor Scott to their payroll in the past week. This in addition to two-time Cy Young winner Blake Snell. Their payroll now exceeds $370 M. For 2025. By comparison the Pittsburgh Pirates sit at just $77 M for 2025 and the fans are outraged demanding the owner sell.

The Dodgers justify the spending because they are building a global brand. While the competing leagues constrict their payrolls to pay service to parity, MLB is allowing the Dodgers to take a soccer attitude to their payroll. The arguments for parity are pretty weak when you consider that their have-nots are happy to take the bounty of great TV/ digital/ logo revenue but refuse to improve their teams.

Which leaves us with the Toronto Blue Jays, definitely a large-market team trying to spend like one. Monday they announced the signing of FA Anthony Santander, who had 44 homers for Baltimore last season. This follows an offseason of humiliation where the team has made no progress signing its superstars Vladdy Guerrero and Bo Bichette.

Like NFL Lions or NHL Maple Leafs, the clock is ticking on their core players as they become prohibitively expensive. Should they sign both? One? Or trade them to get value before they scram to LA or New York? Right now they seem caught between bad options.

Meanwhile the underwhelming Jays management was punked— yet again—in pursuit of a high-profile Japanese FA. The very visible failure left many wondering if it was the market or the management that is holding back Toronto. Which might be another drinking game. Take a drink every time the Jays management swings and misses on a high-profile free agent. You’ll be in detox pretty soon.

Bruce Dowbiggin @dowbboy is the editor of Not The Public Broadcaster  A two-time winner of the Gemini Award as Canada’s top television sports broadcaster. His new book Deal With It: The Trades That Stunned The NHL And Changed Hockey is now available on Amazon. Inexact Science: The Six Most Compelling Draft Years In NHL History, his previous book with his son Evan, was voted the seventh-best professional hockey book of all time by bookauthority.org. You can see all his books at brucedowbigginbooks.ca.

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Bruce Dowbiggin

No, Really. Carney Is An Outsider. And Libs Are Done

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The recent appearance of Liberal-leader-in-waiting Mark Carney on the Daily Show has delighted a small segment of the Canadian voting pool and enraged a goodly part as well. During his nuzzle session with a highly uncritical Jon Stewart Carney announced that he was running to replace Justin Trudeau as Liberal leader and then prime minister for however long that lasts.

(If this distinction seems trivial we would recall that then-CBC vice president Kirstine Stewart once upbraided us for saying her actor husband was supporting Trudeau’s bid to be PM. A choleric Stewart said we’d got the story wrong. How so, we asked? He’s supporting him to be Liberal leader, she thundered. Not the PM. As if this were a distinction worth making.)

Back to Carney. To understand the gravity of his announcement on the Daily Show one must remember that for a generation of concussed Liberals and NDP hacks Stewart’s show from 1999 to 2016 was the Yankee Stadium of talk shows. In their estimation, Stewart was Reggie Jackson, mashing the fastball, while CBC’s At Issue panel was Jesus Ramirez, striking out on the curve in A Ball.

So for Stewart to grant time to an unknown Canadian banker who still thinks Greta Thunberg is relevant was intriguing. Or someone paid someone. In any event, the gotcha’ line from the chat was Carney, formerly governor of the Banks of Canada and the UK and now advisor to PMJT, repeating Stewart’s suggestion that he was the “outsider” in the race to succeed Trudeau.

For most sentient Canadians this was an epic humblebrag for the billionaire son of a former governor of the Bank of Canada whose wife does investment business with Trudeau eminence gris Gerry Butts. If Carney was an outsider what constituted an insider? It was to laugh.

Social media— that part not consumed by the visit of Alberta premier Danielle Smith and gadfly investor Kevin O’Leary to Mar A Lago— boiled with sarcasm and dismissal. Those wily Liberals aren’t going to fool us now, just as we are on the cusp of Pierre Poilievre taking power. No doubt Carney’s team— including PMJT— laughed in derision.

The Liberals culture club think that, if they could pass off Skippy as remotely capable, they can dress up Carney as an outsider for gullible Canadian voters.

But Carney may have accidentally have tripped over the truth. He is now an outsider. You see, the dotty Libs think the machine that selected/ elected Skippy in 2015 still works. CBC, G&M, Macleans, TorStar would decide the candidates and curate the process. Sadly for Butts, Telford and Skippy the Family Compact has been supplanted by social media both here and in the USA.

The turning point of Trump’s victory in the U.S. presidential race was him pivoting away from the staged debates and ponderous Sunday morning shows of legacy media toward not just podcasts by Joe Rogan but also those of under-30 stars such as Theo Von, Adin Ross and Lex Fridman, among many. The cred he gained from the Gen X demo helped him sweep the Dems away. Elon Musk breaking the DEMs censorship strategy on Twitter (now X) also sent a shot at Team Kamala that the game had changed.

While Canada doesn’t have as many counter-culture podcasts as the U.S., there are enough young voters ignoring Canada’s chattering class to bury the Libs under Carney or the rest of the Goof Troop. No one with a pulse and a vote under 50 buys the old rag bag. It’s over for guys as exciting as a carrot expecting to harvest younger Canadians. They’re playing to an empty hall with the bespoke Carney.

This ironic twist is that all this is lost on Woke nobs who brag about their hip sense of humour. Who follow Stewart and MSNBC’s Rachel Maddow to keep up with Trump Derangement. Who record SNL Update to hang on the sophomoric stylings of Michael Ché and Colin Jost. Who can recite extended bits from Curb Your Enthusiasm.

Now they are the punch line. The outrage over the Mar A Lago visit by Smith and O’Leary is a perfect example of their dissociative thinking. The staged pictures had “blood boiling” in many progressives. “@OrbitStudios Jan 13 So… Kevin O’Leary is arrested immediately for treason the next time he sets foot in Canada, correct? I’m absolutely being serious here.” And that’s a mild response.

These armies of Liberal bots fumed over the treachery of talking about the economy with the man about to become the U.S. president again. Awareness much? None of the howler monkeys reacted this way when heroes like PMJT and his cabinet burned clouds of carbon to lobby the eunuchs of WEF, EU and Davos in Europe. They were hot on selling out Canada to the globalist gang’s climate narrative, and they couldn’t get there quickly enough. Crickets from the bot community.

But this is different, of course. Sure. In the past their pals in the Ottawa Press Club could protect these hypocrisies, burying unfortunate stories by segueing to David Suzuki saving seals or Margaret Attwood decrying the medieval treatment of Canadian women in the 21st century.

But social media obliterated the insider game. So much so that Trudeau and his cabinet cronies began banning speech as fast as possible. But it’s too late. Like the ghost leg syndrome, the script to shove an unelected climate crazy into the PMO will seem real to the Libs. But don’t be fooled. The end is nigh for the old way. Just look at Stewart’s ratings to see just how dead it really is.

Bruce Dowbiggin @dowbboy is the editor of Not The Public Broadcaster  A two-time winner of the Gemini Award as Canada’s top television sports broadcaster. His new book Deal With It: The Trades That Stunned The NHL And Changed Hockey is now available on Amazon. Inexact Science: The Six Most Compelling Draft Years In NHL History, his previous book with his son Evan, was voted the seventh-best professional hockey book of all time by bookauthority.org. You can see all his books at brucedowbigginbooks.ca.

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