For those that don't want to do the math, those increases are:
8.5%
8.9%
9.1%
and the 3-yr increase is 29%
The challenge with it increasing that rapidly, is some teams won't be able to afford to spend to the cap, because their revenues aren't growing that rapidly.
And the other challenge is the currency. CDN teams have CDN dollar revenues, but pay USD salaries to players. In the last 4 years, the CAD has dropped 20%. That means the cost of salaries have risen 20% ON TOP of the increases in the cap over that time.
Add a 30% increase in the cap to a very weak CAD, and some of the CDN teams are going to be unable to compete with the wealthier teams. The purpose of the cap is to have a level playing field where all teams can compete because they are all spending about the same amount on salaries. But we are going to see teams have internal budgets, and start spending much less than the cap. This will mean we are back to the rich team / poor team scenario we had, prior to the cap.
|