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economics sports

Baseball and outrage

People are twittering over the Yankees signing C.C. Sabathia to a $160 million dollar contract over 7 years. “How could they be so caviler when the economy is so bad? How can they spend that kind of money when there are people out of jobs and losing their houses?” It’s pretty simple, signing him will make them money. If a company purchased a piece of machinery for that much money, who would complain? The Yankees aren’t “showing off” or spending money for the hell of it. They aren’t some spoiled rich kid spending like an idiot, they are a business and they think they are going to make money by spending this money. What’s so hard to understand?

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