Saturday, February 21, 2009

Why John Henry Wants A Cap

How ironic that Red Sox principal owner John Henry is (once again) advocating a salary cap for Major League Baseball. This is the same guy who has made multiple millions (even in this crap economy) by leveraging hedge funds—arguably the ultimate in capitalism. So, why is he calling for a socialist solution to MLB spending?

Simple. In a rare literal analogy, he wants to force a "level" playing field by penalizing other successful franchises that have had the foresight to move into the 21st century by building new stadiums—something he will not or cannot do. That is what now separates the Yankees from the Red Sox. That is why the Yankees can afford half a billion in new player acquisitions. John Henry has seen the future and he is scared hitless. He sees his investment slipping away because he needs to squeeze 38,000 fans into a 1912 sardine can. Meanwhile, the Yankees unveil a state-of-the-art new venue this year that will reap a financial windfall and allow them to separate even more from the Red Sox.

John Henry's solution? Follow the logical lead of every other franchise (except the hapless Cubs) and build a New Fenway? Wrong, Fenway Frank breath! He calls for a Soviet-style cap on spending to protect his capitalist investment. Shame on him!

No comments: