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River Ave. Blues ยป The economics of the Sabathia offer

The economics of the Sabathia offer

November 17, 2008 by Benjamin Kabak 63 Comments

It's P-E-A-V-Y
Yanks, Cubs firm up exhibition dates

In a column this morning, Dan Granziano of NJ.com analyzed the Sabathia offer via an economic spectrum. While, as Brewers GM Doug Melvin said, the Yanks may very well be bidding against themselves, the offer makes perfect sense if you assume the viewpoint of the Yanks. To them, Sabathia is an investment worth at least $140 million over six years.

It’s true that the Yanks probably would have had the current top bid had they offered “only” $110 million over six years, but then the Brewers could have counter-offered. The Yankees didn’t want to take that chance, and the powers-that-be felt that an initial offer of $140 million over six years was a true expression of the value of CC Sabathia to the Yankees for the length of the contract. This is a good point to remember when other teams and their officials and fans start complaining about the Yanks’ riches. It’s all about the economy.

It's P-E-A-V-Y
Yanks, Cubs firm up exhibition dates

Filed Under: Asides Tagged With: CC Sabathia

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