Quote of the week: Derek Thompson
From TheAtlantic.com: “By slashing their payroll to the bone, the league-worst Pittsburgh Pirates have both controlled costs and . . .
“By slashing their payroll to the bone, the league-worst Pittsburgh Pirates have both controlled costs and qualified for maximum money under baseball’s revenue sharing agreement, which taxes the highest-spending teams and distributes the money to the basement dwellers. Teams are supposed to use the revenue on new players, but [newly leaked] documents suggest the Pirates’ owners have either pocketed the money or used it to pay down debt on their new stadium. If the Pirates’ strategy sounds familiar, it’s because it typifies the response of U.S. companies since the economic downturn. Just like baseball’s worst team, companies are keeping payrolls trim to boost earnings reports, and using their revenue to pay back debt rather than hire new talent. Sorry to say it, America, but these days we are all the Pittsburgh Pirates.”Derek Thompson in TheAtlantic.com