What luxury tax?
The Dodgers, according to the Los Angeles Times' Dylan Hernandez, are close to a six-year, $145 million contract with Zack Greinke. That will further increase their sky-high payroll as they add to a team that already features Clayton Kershaw, Matt Kemp, Andre Ethier and Adrian Gonzalez. And it doesn't matter.
When you're close to a deal with Fox that will net you at least $240 million per year from your TV deal alone, it renders luxury tax almost irrelevant.
The Dodgers, along with the Angels, Rangers and other teams who already have or will soon cash in on a new TV deal, are illustrating the direction baseball is going. The Yankees for years have practiced the "spend money to make money" principle. Other teams are following suit, but with massive financial backing.
As Yahoo! Sports' Jeff Passan writes, the Dodgers' climb from bankruptcy to bank-rolling massive contracts happened quickly and with the help of TV money. To put this all in perspective, I refer back to Wendy Thurm's fantastic breakdown of the league's TV deals, displaying the chasm between the haves and the have-nots. It's a fascinating development that has created a paradigm shift in the game in recent seasons.
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