The Return of the Big Market Clubs

In 1977, Bill James released his Baseball Abstract, tearing down the house built on BA-HR-RBI and W-L records. He demonstrated empirically how inadequate those measures were in player evaluation, ushering in an era of discernible -- and exploitable -- market inefficiencies.

The exploding capabilities of the PC and the rise of the Internet multiplied the power of James's observations and allowed low-revenue baseball teams -- starting with the Oakland A's -- to compete with the big boys.

The Internet also paved the way for athletes to become famous wherever they played, allowing LeBron James in Cleveland, Stephen Curry in Oakland and Bryce Harper in Washington to emerge as global brands.

That significantly leveled the playing field and removed the nearly insurmountable advantage enjoyed in MLB by the Yankees, who had money, market and intangibles on their side in the 90s and 2000s. They won largely by throwing money at all the best players and managing them wisely.

Money Matters Again
That formula doesn't work anymore, but a new one does. The Yankees still have the largest market and the most money, as do the Dodgers and Cubs in the NL. Instead of investing in free agents, they have invested in the best baseball operations people, in player development and in the secret formula that small market teams were riding to success -- statistical analysis.

Forty years after Bill James threw a hand grenade into baseball's intelligentsia, his wisdom is finally received in total. The big market clubs are taking their reduced advantage in disposable income and leveraging it to raise the best young players. 

Investing in Management Rather Than Labor
Aaron Judge, Gary Sanchez Greg Bird, Luis Severino and Aaron Hicks are not an accident or serendipity. They are products of  a well-capitalized player development plan. They teach Baby Bombers to play smart defense, become students of the game, learn patience at the plate, stay even-keeled when behind, and so on.

The fleecing of the White Sox to procure the services of Tommy Kahnle, David Robertson and Todd Frazier was not simply good fortune. Top dollar buys the best front office too. Brian Cashman has done this before in his career, such as when he stole Bobby Abreu from the Phillies for Cory Lidle in 2006. Abreu added 7 WAR to their playoff-run efforts in a little more than two seasons.

The Dodgers have used smart analytics and the power of the purse to build the deepest team in baseball, one that delivers quality well beyond the 25-man roster. So when L.A. suffered a string of injuries this season, a wily front office employed the disabled list to stash pitchers between starts to stretch the roster and then dipped into a pungent minor league system to promote MLB-ready replacements.

And so here we are, back to the 70s when NY and LA dominated the World Series. 

It's Could Be Horrible for the Game
It could be horrible for the game that a few big market clubs make regular playoff visits because it's could be horrible for fans in Cleveland and Milwaukee and Minneapolis and, well, almost everywhere else. It was boring, frankly, to see the same teams win every year, unless you were fans of those teams.

Watching the Yankees ascend within a game of the World Series and knowing that they will soon sign Bryce Harper and a host of other young free agents and dominate the American League again makes me miserable. It should make you miserable too unless you happen to be a Yankee fan. 

But it's the new reality. Now that the playing field has returned to level with respect to intelligence, money matters again.