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Old 07-06-2011, 12:41 AM   #3
An uglier Lamar Doom
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Join Date: Sep 2006
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Default Re: NYTIMES reporting that nba crying foul over financial crisis

Originally Posted by Sarcastic

Other expenses are up 42.9% over the last 10 years, while player salaries are only up 24.3%. Looks like to me that if the owners were better able to control those other expenses, they would not be losing so much money.
look at it over the entire graph. player salaries go from 420 to 2200 (a 525% increase) while other expenses go from 394 to 1400 (355% increase). so...., basically the cost of paying players has grown much more than other operating expenses. It is also the largest operating cost (accounting for 61% of total expenditures) for the league.

Just look at the operating margins across the entire graph and then since the last cba. Its pretty clear than owning an nba team in the modern era has never been less profitable. And I cant blame the owners for wanting to fix that. Especially when we see a small latin american countries entire GNP riding the pine or barely playing every year. Partial guarantee contracts would be the best thing to ever happen to this league imo.
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