What's wrong with the luxury tax

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Motown Beatdown

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Mar 5, 2002
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Doc Hollywood said:
See, that is where the problem is. Letting the Yankees come in and letting them escalate salaries provides a competitive imbalance. I was never in the favour of a "Cap" but looking at it now it works. Having a Cap like the NFL provides Competitive Balance within the League. The NFL is always making money since salaries are tied to revenue. The NFL pays out roughly 65% in player salaries. Players and owners are happy with their CBA. The Rangers, Leafs, Red Wings etc will just keep signing players from other teams cause that team can't afford him anymore and pay the tax with ease. Having a Cap and not being able to go on top of it provides a stable Competitive Balance within the league.


It's not the end all fix Bettman likes to say. Teams will still suck regardless if money is equal. Dont drink his koolaide it's not always about money it's about who is running your team. My Detroit Lions are no closer to winning a Super Bowl than they were before the salary cap.
 

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JWI19 said:
It's not the end all fix Bettman likes to say. Teams will still suck regardless if money is equal. Dont drink his koolaide it's not always about money it's about who is running your team. My Detroit Lions are no closer to winning a Super Bowl than they were before the salary cap.


Finally, someone who see's the picture.

The Salary Cap is only a system to put more money in the owners pockets, raise the value of franchise's, and to keep the playing field even.

It still doesn't mean the idiots arent the teams wont mess up.

BTW, you can forget about dynasties with a Cap as well.
 

Sam I Am

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Son of Steinbrenner said:
the braves are in the playoffs every year. they aren't a large market team funny you just bring up the yankees :dunno:

Atlanta isn't a large market team? Look at their payroll over the last decade versus the rest of baseball.

Can you spell T-U-R-N-E-R-B-R-O-A-D-C-A-S-T-I-N-G ?
 
Hockeyfan02 said:
What part of the salary structure that I question is that even if their is a system in place with revenue sharing and a salary cap, how does that gurantee that these teams are going to spend money on their clubs? I havent read the proposal entirely, but there is a system to prevent teams from spending over a limit...is there something that prevents teams from spending below a limit? Like the salary teams cant go over is 35 million, is there a salary teams have to spend like 25 million?

Yes there is. Quote:

"The system will permit flexibility in spending among the individual Clubs, with each Club obligated to spend no less than 51% and no more than 57% of its 1/30th share of the League's Hockey-Related Revenues on Player Compensation (the "Payroll Range")."

Works out to a high of $38.6 million and a low of $34.6 million.
 

gr8haluschak

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Jul 25, 2004
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For all that think that a luxury tax is the answer ask the Twins, Jays, and the Former Expos about how well it allows them to keep their stars.
 
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