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The Salary Cap In The National Football League

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Another study performed by Dietl et al. (2009) provides a theoretical model of a team sports league and studies the welfare effect of salary caps. It shows that salary caps will increase competitive balance and decrease overall salary payments within the league. Advocates of salary caps in professional sports believe that an increase in competition across a league sparks regional and national interest. More competitive leagues draw higher television audiences, costlier media contracts from television networks and more lucrative contracts from advertisers. The salary cap in the National Football League is an excellent example of the system 's ability to level the playing field and create a more competitive league. The resulting effect on social

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