Economics of a Record Offer

Dropkick Murphys - Which Side Are You On? (via ZMKproductions)

1)  Sabathia will have to make his decision quickly, or else the MLB Player's Union is likely to come breathing down his neck.  He has the chance to lift the salary of every free agent starting pitcher for the next several years, even as Bud Selig and the other owners talk of fiscal responsibility.

With the bosses threatening to pinch pennies, the union is going to want every player to grab the biggest paycheck available.  A high tide lifts all ships, and a plump pitcher in the Bronx inflates all contracts.

2)  Remember our outrage when Jared Wright cost $10 million dollars?

If the Yankees wind up giving Sabathia $150 M over 6 or 7 years it also makes Andy Pettitte, Derek Lowe, and AJ Burnett more expensive.  I'm not saying the Steinbrenners' checkbook can't handle it; the fans will have to (once again) readjust our tolerance for what is an acceptable salary for an entertainer who works from March through October.

On the other hand, it makes Phil Hughes, Jake Peavy and prospects that much more valuable.

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