by coyote303 » Tue Dec 13, 2011 2:43 pm
[quote:9d50ce1afa="macnole"][quote:9d50ce1afa]"On average, there is a correlation between how much a team spends and how much they win. The correlation isn't as large as you would expect and there are exceptions, but it does exist. "[/quote:9d50ce1afa]
Would need to see the numbers--but note the "average" is not a legitimate metric for a skewed or highly non-Gaussian distribution, i.e., lack of a near-bell curve. And we don't have a gaussian salary distribution among the teams.
Remember that the data/average will be disproportionately influenced by just a few teams.
So it really is a faulty hypothesis. A better one is to maybe bin the teams into large, mid, and small cap and look at how each category compares in wins, playoff appearances, and championships.
The nice thing about baseball--even if my first guess is that wins are directly proportional to money spent--is that you just need to get into the playoffs. The rest is an open book after that. Not so in most other sports--upsets are much more uncommon. Outcomes much more predictable--hence the reason why sports betting is not as prevalent in baseball. Oddsmakers are sophisticated statisticians/actuaries on par with insurers.
On averages--consider this: At location X, for half the year the wind blows out of due east at 50 miles per hour. Other half the year it blows out of due west at 50 mph. So, what is the average wind direction/speed at this location over a year? ZERO. Misleading and inappropriate to use an average on a multimodal distribution.[/quote:9d50ce1afa]
I gave a link to the article in my last post. They show a plot of all teams. There are higher and lower points than the slope, but the slope is upward.
Your point about just making the playoffs and it being an open book after that is one of the reasons this unfair system "works." I noted in my last post how the 2-time champion Marlins have never been best in their own division, much less the entire National League.
And using your wind average example, if east = spend more win more and west = spend more win less, then the average is NOT zero. There would be a gentle breeze from the east.
Don't worry though. There won't ever be a salary cap in baseball. The Yankees are too important to the game. MLB does not want to risk having a long-term mediocre Yankee team. They need to be competitive, even if they don't win it all.