Are Athletes Overpaid

569 Words3 Pages
There are two big reasons that athletes are not overpaid. First of all, if someone is willing to pay them $20 million to play sports, then there's obviously a market in which it's OK for them to make that much. Ergo, they are not overpaid. To elaborate, overpayment is only possible if it's within a market that cannot support the overpayment of those involved. If you run a business where your budget is $100,000, and you're paying someone $110,000, then you're overpaying them because you simply cannot afford it. However, if your budget is $100,000 and you pay someone $100,000, and then because of their success or drawing power your budget increases, you're no longer overpaying them as you can now afford it. That is quite often the case in professional sports; a team is in a seemingly unproductive market, signs a superstar athlete at a high price, and then they make money because of the financial pull of that athlete. Take the Minnesota Timberwolves for example; they had a poor market for basketball until they had Kevin Garnett for 10 years in the area of $15 million per year. During that time, the team made money, now they traded him away and the attendance drastically dropped, and the team is unsuccessful. The second reason, and the more important reason, is that there are certain people who are the best in the world at what they do, and those people make a tremendous amount of money. The best software programmers in the world are inhumanly wealthy, the best doctors in the world are unquestionably millionaires, the best lawyers in the world make millions every year, the best actors, musicians, writers, and virtually everything else make outrageous amounts of money, so why should athletes be any different? If you've worked your whole life to succeed in something, while others have wavered over their goals, you probably deserve to reap the benefits of such dedication
Open Document