Posted by strikeout26 on 2/7/2019 9:28:00 PM (view original):
I haven't ran any actual numbers, but I'm not sure any player is worth $35M/year. Saying that, I think he's worth more than Harper simply because he can play SS adequately if needed.
It's a function of revenue. If you work for a company that brings in $1B a year in revenue (Yankees) and can make an argument that your labor contributes significantly to the company's success, $35M a year is a drop in the bucket. Realistically, the Yankees, Red Sox, Dodgers, Cubs, and a handful of low payroll teams can afford to pay Machado or Harper $30M+ a year. League average payroll was $140M last year. It will probably be about the same this year. The White Sox could sign both and still just barely hit league average payroll.
Look at the Braves, for example. The excerpt below is from Fangraphs. We know a lot about the Braves finances because their parent company is public, so we can see their books.
It is useful to put Atlanta in a broader context. While the Braves moving into a new ballpark opens up new revenue streams, most teams have relatively new ballparks. The 2.5 million fans the Braves have drawn in attendance in each of the past two season is good, but the team also ranked outside the top 10 this past season. Add in one of the worst local television contracts in the game and a $130 million payroll, and the Braves had $100 million in profits last season. If a team with close to average ticket prices and attendance took in $100 million in profits with their payroll, it isn’t far-fetched to think that there are teams with significantly higher payrolls but better attendance and television deals also making a tidy profit as well.
That 130M includes over $40M in dead money to Adrian Gonzalez, Scott Kazmir and a bunch of smaller contracts to guys like Peter Bourjos and RA Dickey. That all goes away this year.
And they are paying Josh Donaldson and Darren O'Day a combined $32M in 2019 that will be gone in 2020. Markakis ($4m 2019 and $6m 2020) had a good year last year, but he's 34. The Braves are clearly trying to compete. Signing Harper also/instead would have been a perfect fit for them this year. And they can EASILY afford it. 10/350 or 12/400 sounds huge, but compared to actual team revenue, it's not insane.