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Saturday, December 20, 2014

Angels, Red Sox discontinue pension plans for non-uniformed personnel - LA Times

Any experts on pension plans have a comment?

Jim Furtado Posted: December 20, 2014 at 08:44 AM | 23 comment(s)
  Beats: economics

Friday, December 19, 2014

Do MLB Owners Wield Sabermetrics as a Hammer? – The Hardball Times

What a bunch of gobbledygook.

*Hamels will earn $22.5 million per season through 2018 with a $19 million vesting option for 2019. Since becoming a full-time starter in 2007, he’s been worth 32.4 fWAR — about four wins per season. Most people in the advanced stats community seem to agree that a win is worth somewhere between $6 million and $8 million. With that in mind, Hamels’ contract is at market value or below. Even if Hamels’ production begins to decline toward the end of his contract, he should be close to producing at market value unless he completely falls off the table.

I keep reading people claim a win is *worth* somewhere around $6-$8 million a year. It’s not. $6-$8 million a year is approximately what a win *costs* on the free agent market. Teams might want to buy players at top dollar to fill particular needs but evaluating deals by using the most expensive mechanism for getting players is flawed.

Jim Furtado Posted: December 19, 2014 at 07:18 AM | 3 comment(s)
  Beats: economics

Sunday, December 14, 2014

Sunday Notes: MiLB Money vs Japan & Words from the Winter Meetings

Minor leaguers really do get screwed. The Players Union stance on this issue is appalling.

Minor-league salaries are abysmal. The standard salary for first-year players is $1,100 per month. At the Double-A level, players get approximately $1,500 per month. Triple-A players can make markedly more, depending on experience and 40-man-roster status, but some earn as little as $2,150 per month. Major League Baseball’s minimum salary recently increased to $507,500 per year.

Minor-league players only receive paychecks April through August. They aren’t paid during spring training, instructional league, or during the offseason. For seven months out of the year, they’re training on their own dime. According to Garrett Broshuis, the Uniform Player Contract “requires players to perform work throughout the year, but teams aren’t paying them for that.” A prospect-turned-attorney, Broshuis is involved in a class-action suit to improve compensation for minor-leaguers.

Jim Furtado Posted: December 14, 2014 at 08:32 AM | 8 comment(s)
  Beats: economics, sunday notes

Friday, December 05, 2014

NY Post: Is Jeter Gearing Up To Buy The Marlins?

Jeter has declared repeatedly for quite a while now he intends to own a baseball team someday .  .  . He even told reporters in June he intended to reach out to team owners upon the season’s (and his playing career’s) conclusion. And if you want to bet which team he’ll eventually own? You won’t find a safer wager than the Marlins.

The Marlins said Jeter simply stopped by because he happened to be in town, and maybe that’s all it was — for now. Jeter figures to approach his goal smoothly and deliberately, and there’s only upside by spending some time with Marlins owner (and huge Yankees fan and George Steinbrenner admirer) Jeffrey Loria.

The 74-year-old Loria made the industry’s biggest splash of this offseason when he committed $325 million over 13 years to his stud outfielder Giancarlo Stanton. .  .  . Yet the Stanton contract’s dramatically backloaded structure, with modest payments of $6.5 million, $9 million and $14.5 million coming from 2015 through 2017, just raises more questions about the franchise’s future. Will Loria try to cash out now that he has stabilized the situation in the wake of the 2012 trades of Mark Buehrle, Hanley Ramirez and Jose Reyes? The Manhattan resident has long denied the notion he’ll be selling anytime soon. Yet industry speculation persists because the multiple times Loria has shot himself in the foot with rebuilds, manager changes and strikingly low payrolls — and most of all the public funding he secured for his new ballpark.
.  .  .
Enter Jeter, whose representative Casey Close didn’t respond to a request for comment. He lives in Tampa, a short flight (or approximately four-hour drive) away, and he sure seems to enjoy Miami, based on repeated Page Six sightings there. Purchasing the Marlins, unlike the Rays right in his backyard, would keep him out of direct competition with the Yankees.
.  .  .
He needs to put together a consortium that would in turn appoint him as the control person. He surely knows this already, and it isn’t outrageous to think that Jeter, based on his income not only from the Yankees but also from his endorsement deals, could chip in a sizeable portion himself. Maybe $100 million?

Major League Baseball folks naturally would be thrilled to welcome Jeter into the ownership fold, and all the more so into a sad-sack market like Miami.
Now, the simplest solution doesn’t always become reality. Maybe Loria and his controversial team president David Samson will hang on for the long haul. Maybe Jeter will be wooed by another ownership shift. How about he takes over the A’s and finally moves them out of the O.co Coliseum, even though that’s where he made his Flip Play?

Probably better than putting your money into video games.


Tuesday, December 02, 2014

Arbitration Notes: Ogando, Moreland, Russell, Parra, Descalso – MLB Trade Rumors

MLB Trade Rumors has a nice post about tonight’s 11 PM deadline for tending contracts.

Jim Furtado Posted: December 02, 2014 at 06:51 AM | 75 comment(s)
  Beats: economics, non-tenders, rumors

Wednesday, November 26, 2014

Boston Red Sox prove (once again) that competitive balance in baseball will never exist | cleveland.com

The way the Yankees and Dodgers have dominated the last few years proves that topping the payroll list guarantees World Series appearances and championships. There is no way teams like the Royals, Rays, A’s, and the Cardinals can compete.

There is never going to be competitive balance in baseball. In a game where the players have proven time and time again that they will strike to prevent it, perhaps it was never meant to be.

Jim Furtado Posted: November 26, 2014 at 12:34 AM | 55 comment(s)
  Beats: economics

Wednesday, November 19, 2014

The three people who explain baseball right now | FOX Sports

A few interesting tidbits.

(Does anyone know why JABO doesn’t note the publication date of articles?)

Jim Furtado Posted: November 19, 2014 at 10:32 AM | 0 comment(s)
  Beats: economics, front office, gabe kapler, hank conger, michael cuddyer, sabermetrics

Saturday, November 15, 2014

Local TV riches have transformed baseball—but will trend last?

Sorry, the biggest markets still have a big advantage.

“I don’t think we have the financial advantage that we used to,” Yankees general manager Brian Cashman said. “We have a lot of resources, but with revenue sharing and luxury tax and the penalties associated with certain activity, it’s restricted a lot of the past practices that we were able to maximize our efforts in.” “It plays out in so many forms and fashions,” Cashman continued. “We’ve been beat out or stepped out of competition on international players because of the luxury-tax attachment at times. We’ve been beaten out on Cubans by the Cincinnati Reds on two occasions. The commissioner has definitely leveled the playing field.”

Jim Furtado Posted: November 15, 2014 at 08:51 AM | 13 comment(s)
  Beats: economics

Tuesday, October 21, 2014

DeWitt expects ‘significant’ rise in payroll in coming years : Sports

“We have forecasted increases over the next three to five years that will accommodate what we need to do with the young players we have,” Cardinals chairman Bill DeWitt told The Post-Dispatch this past week. “We knew as younger players matured at the major-league level they would get to arbitration and into free agency. We wouldn’t be able to retain them at the current payroll level, so we’re forecasting fairly significant increases in the next three to five years.”

Jim Furtado Posted: October 21, 2014 at 08:13 AM | 0 comment(s)
  Beats: cardinals, economics

Tuesday, September 30, 2014

Brown: Winners And Losers: MLB Attendance In 2014, Nearly 74 Million Through The Gate

Major League Baseball’s regular season ended on Sunday and with it, paid attendance for the league (the number of tickets sold) came in at 73,739,622 with average attendance per game at 30,346. Year-over-year attendance was ostensibly flat, down 0.3 percent from the 2013 season when average attendance was 30,442. Overall, it ranks as the seventh most-attended season ever behind 2007 (79,503,175), 2008 (78,588,004), 2006 (76,042,787), 2012 (74,859,268), 2005 (74,702,034), and 2013 (74,026,895). This season marks the second consecutive year that attendance has dropped, albeit only slightly since then. Total attendance has dropped 1.5 percent since 2012.

That’s a lot of peanuts and crackerjack.

Infinite Joost (Voxter) Posted: September 30, 2014 at 07:38 AM | 33 comment(s)
  Beats: attendance, economics

Tuesday, August 26, 2014

Posnanski: Money money money

 

You probably know that one of Bud Selig’s big objectives as commissioner of baseball was to even the playing field – that is, to give the small-market teams a chance to contend… Funny thing: Here at the end of his tenure, baseball is closer to Selig’s nirvana than perhaps ever before. As Brian McPherson writes in the Providence Journal, the correlation between money spent and winning is at its lowest point in a long, long time. McPherson writes that the correlation right now between wins and money is actually smaller than the correlation between wins and alphabetical order.

Why is this a funny thing?

Because, I believe the reason for whatever actual effect we are seeing is pretty directly tied to the steroid years that Selig has been running away from for more than a decade… I have a theory – one that directly relates to my belief that many baseball teams are doing something that is monumentally stupid. I’m referring to the huge, long-term deals that they are giving players – deals that last until the players are in their mid-to-late 30s, and sometimes even carries them into their 40s. These contracts are a death trap, a suicide rap, and while there are exceptions to every rule, there are never more than a few exceptions…  in the late 1990s and early 2000s… we suddenly started seeing 35-year olds performing at very high levels… My guess is that this seemingly reasonable conclusion that baseball players had started to beat the aging process was, in fact, quite unreasonable and it is probably the biggest factor in these massive, sprawling and utterly doomed long-term contracts… Baseball owners’ and GM’s madness for big money contracts to aging players has, in its own way, evened the game more than anything else Selig or any other commissioner has done.

The District Attorney Posted: August 26, 2014 at 03:15 PM | 26 comment(s)
  Beats: bud selig, economics, joe posnanski

 

 

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