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11-27-2012, 03:10 AM
  #43
Fugu
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Quote:
Originally Posted by Riptide View Post
So the PA's proposal is better... but you can't/won't explain how, other than to say it's not their issue to solve the leagues problems?

While I admit I haven't done the numbers on their latest/3rd proposal, the PA's first few proposals are not better for the NHL long term. And the latest one is 50%+some money, so long term it won't be much different than the NHL's proposal.

Yet when the league try's to solve the issue, the PA screams bloody murder. None of the PA's proposals addresses revenue disparity in any meaningful way. Every offer they've put forward is all about the PA getting as much money as possible and eliminating any risk should revenues not increase.


Well, using a term like "better" really depends on your perspective, doesn't it?

Does the NHL's offer yield more of the revenues for all owners? Sure.

Does it [fairly] address the revenue gap that coupled to the cap system has exacerbated the player cost for some of the teams? I'd say not really, because the revenue gap probably has grown over the past 7 years; but this time it forced spending upwards for all teams thanks to the cap range system.

So what is the NHL's solution? The same system, just with lowering the share a few percentage points. It's enough to nudge a few teams into a slightly better positions for now, but alone, it's not enough to help the truly hapless. The system will STILL have a floor that will drag everyone upwards with revenue.

That's the fallacy. Setting your costs as a fixed percentage of your revenues is basically rather asinine. If you have a banner year, you don't really get to just pocket the money, you get to look forward to a higher cap range. The system decouples business tenets that should not be decoupled. These are all variables (revenue, cost, profit) over which you should have control. If you grow revenue, why would you want to be shackled to raising your labor cost commensurately? Most businesses adjust, but you can't do that in capped leagues.

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