Post by Colorado Avalanche GM on Mar 6, 2012 15:44:32 GMT -5
Ok, simple math here folks.
In 2010, Sandman signs a contract worth 10M a season for X number of years. Lets say, 4 years. The salary cap is 60M at this point. Therefore, Sandman makes 10M of the teams 60M they can spend, roughly 17%.
Sandman is a 10M player. Everyone agrees.
In 2014, when Sandman needs a new contract, he signs a 17M a season contract. HOLY BATMAN! Sandman is a 10M player, OVERPAID! OVERPAID! But wait.. the salary cap is now 100M. Therefore, Sandman is making 17M of the teams possible 100M they can spend. Sandman is still making 17% of the teams salary.
That is how you judge players in a salary cap era.
The cap in 2015 can stop going up but it doesn't mean Sandman is making any more or less. He's still making 17% of the teams cap and thats his vaue. In 2016, if the cap stays the same AGAIN, Sandmans value is still THE SAME.
Lets also say in that time period, in 2012 BigErection signed a contract worth 12M a season. The Salary cap is at 85M. BigErection is nowhere near the level of Sandman yet he gets paid more. Overpaid, right? WAIT a minute, when he signed he is making 15% of the teams available cap. He isn't as good as Sandman, which is why, instead of 17% he makes 15%.
The same concept/idea happens when minimum wage goes up. The price of everything gets inflated to match the wages.
In 2010, Sandman signs a contract worth 10M a season for X number of years. Lets say, 4 years. The salary cap is 60M at this point. Therefore, Sandman makes 10M of the teams 60M they can spend, roughly 17%.
Sandman is a 10M player. Everyone agrees.
In 2014, when Sandman needs a new contract, he signs a 17M a season contract. HOLY BATMAN! Sandman is a 10M player, OVERPAID! OVERPAID! But wait.. the salary cap is now 100M. Therefore, Sandman is making 17M of the teams possible 100M they can spend. Sandman is still making 17% of the teams salary.
That is how you judge players in a salary cap era.
The cap in 2015 can stop going up but it doesn't mean Sandman is making any more or less. He's still making 17% of the teams cap and thats his vaue. In 2016, if the cap stays the same AGAIN, Sandmans value is still THE SAME.
Lets also say in that time period, in 2012 BigErection signed a contract worth 12M a season. The Salary cap is at 85M. BigErection is nowhere near the level of Sandman yet he gets paid more. Overpaid, right? WAIT a minute, when he signed he is making 15% of the teams available cap. He isn't as good as Sandman, which is why, instead of 17% he makes 15%.
The same concept/idea happens when minimum wage goes up. The price of everything gets inflated to match the wages.
