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Old December 6th, 2006, 08:49 PM   #1 (permalink)
vegasjim
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Default Where is all the $s coming from?

After a couple of years of what appeared to be generally finanically responsible decisions in baseball (Yanks and Red Sox excluded) salaries appear to be sky rocketing again this off season. What has changed, are their new revenue streams recently - new TV deal?

I did see, in another post on another board, that it appeared the new CBA have a much higher payroll threshold before you had to worry about paying luxury tax.

Have I missed some other changes.

Jim
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Old December 7th, 2006, 01:23 AM   #2 (permalink)
Kodiak
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The new CBA helped a bit fule the fire. The fact that the game will be very stable for the next few years helps to make the money flow more. What is more of a factor is that attendance is at an all time high. Baseball is up to its eyeballs in cash with the record attendences. Big TV deals, merchandising, online revenues from mlb.com, and XM radio have also brought a lot of cash to baseball. The owners are making a LOT of money now, moreso than a couple years ago. This has resulted in the owners being a lot more loose when it comes to their wallets.
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