NBA Salary Cap history
NBA Salary Cap history

This page explores the role of salary caps in the economics of professional sports teams.


The Start of Free Agency
- In 1969 outfielder Curt Flood challenged his right to be a free agent in the court case Flood v Kuhn

- Flood lost the supreme court case on the basis of that baseball was a sport not a business which meant it would be exempt from anti-trust law.

Multimedia.pngSee Flood v. Kuhn from Ken Burns film Baseball

- Flood lost but paved the way for players Andy Messersmith and Dave McNally to fight for their rights as free agents

- In 1975 Dave McNally and Andy Messersmith went in front of an independent arbiter which ruled that they would be free of their contractual obligations and could file for free agency.

- Free agency today is apart of all the four major sports in the United States

dollarsign.pngNational Football League Team Salary Cap Space from the blog Over the Cap

An additional Link to a video explaining the NFL's salary cap


Screen Shot 2017-06-12 at 3.55.03 PM.pngShould baseball have a salary cap? Click here to find out

The Impact of Free Agency on Pro Sports click here

Excellent 30 for 30 film on Professional players and money in pro sports click here

Great article on salary caps click here

Should pro Sports even have a salary cap? Colin Cowherd makes an argument that they shouldn't in this video

Professional Sport Team Labor Stoppages
  • alg-marvin-miller-jpg.jpg
    1972 MLBPA President Marvin Miller announcing the end of the work stoppage
    The first sport labor stoppage ever was the 1972 Major League Baseball lockout
  • It was a 13 day stoppage which costed the league 86 games which resulted only 153 being played ecause owners refused to compensate players for the lost games
  • The work stoppage occurred because the MLBPA wanted an increase in the pension to 500,000 dollars and the introduction of salary arbitration

Timeline of the four major sport work stoppages click he

Women's Sports and Salary Caps

Although Gender Equality in Sports has come along way, there are still quite a few disparities between professional athletes of both genders. Typically Female Athletes are paid far less than their male counterparts in their annual salaries due to lower salary caps and overall team revenue.

  • Here is a link to some of the biggest disparities in salaries in male and female sports.
  • Which Sports Have the Largest and Smallest Pay Gaps From Forbes magazine detailing more eye opening inequalities in the professional sports world
    • In 2017, there is only one women in the top 100 paid athletes, Serena Williams