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Old 06-16-2017, 02:19 PM   #22
mrkajz44
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Quote:
Originally Posted by getbak View Post
No. That is not how it works.

The escalator takes the actual HRR from the previous season and assumes that revenues will grow by 5% (because historically, they do) and sets the following season's cap based on that projected growth.
Huh - I looked it up in the CBA (Section 50.5 (b)) and getback is right. There is a mathematical formula for which the escalator is applied. So the players applying the escalator is simply them saying they think HRR will grow by 5% over the prior year, which is actually pretty reasonable.

Today I learned...
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