Tuesday, February 10, 2009

Why Are the Salaries of Professional Sports Stars So High?

Shaquille O'Neal made $27,696,430 in 2004-05 basketball season. A high school teacher makes on average $43,660 for the same year. "As you can see, the difference between what a top NBA player makes and what "an ordinary American" make is huge. "(p.204-05) Nurses, teachers, child care workers, IT support technicians are all highly skilled and trained and have more education, and costs for that education out-of-pocket. They also do something that greatly benefits and improves society. So how, from an economic standpoint, can these high salaries of sports players be justified?
Cite your source.

19 comments:

  1. When it all comes down to it, you cannot really regulate someone's salary, especially if they are famous. "Professional athletes are making too much money in a society where salaries and wages are traditionally based on the value of ones work." Athletes earn a lot of money, because the entertainment industry is willing to pay for them. The amount of money people spend for recreation is crazy. Even in this economic crisis, people are still going to the movies every Weekend. Production companies are still making money, this is why movies keep bringing in income. Going to the movies helps you get away from your troubles, having fun puts your mind in another state, away from worry. "However, teaching is one of the most economically important occupations because our future economy relies on the education of its youth, yet teachers are paid much less than the average professional athlete. The U.S President makes decisions that affect our economy and yet he only makes 250,000 dollars a year (Turner)." The Superbowl is an example of enormous spending. I have seen people at Costco, spend up to 2 hours waiting in line, to pay for what they have bought. They buy a tremendous amount of food. "Opponents of this view say payment is being received for a service, therefore professional sports are a business." Professional athletes go to expensive training camps and are risking their lives everyday. Playing a sport is not all fun and games, you can seriously get injured. For example, soccer star, "Pele" once kicked a soccer ball at a goalie so hard, that he killed him. There is always a risk an athlete is going to take, this is why sports managers take special care in choosing their athletes. Sports managers are not going to take a player with medical problems, because it will cause the team to lose money.

    http://www.123helpme.com/assets/10243.html

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  2. The reason why sports stars make so much money is because whenever you have a very high demand combined with a very small supply, you will wind up with a very high price. People want to see entertainment and they have a high demand for sports and the supply for being a professional sport player is extremely limimted, you have to be extremely good at what you are doing. There is a huge demand in sports, because everoyne wants to see entertainment and these players attract fans which adds up with endorsments. So being a huge sports fan that I am, I have to say that even with the economy so horrible, these salaries will not be justified because of those reasons up above. One way that they could justify their salary is just give back to the fans and the community which most of the sports stars do. If they don't, then they are very greedy and don't deserve money. Look at Yao Ming, an NBA star on the Houston Rockets. He donated millions of dollars to China so they can have recreational basketball leagues and develop the love of basketball in China and help reconstruct China. Same with Dikemebe Mutumbo, who is also an NBA star. He basically single-handely built gyms and houses for Africa to bring them hope and started a foundation. I agree with the fact that some sports players don't deserve this much money but some do. I think NFL players deserve all they get because they are basically risking their life every time they play a game.

    "Professional sports can be fun to watch. Millions of kids all over the world look up to professional athletes like they are Gods. Some athletes have take time out of their schedule to get involved with after school activities and charities. Sports have a truly unique ability; they bring people of all races, genders, and social classes together. Sports also give people a sense of hope, when fans see their favorite player score a touchdown or hit a homerun it gives them the faith that they can do well in their own endeavors".- Daves Dailty

    That quote basically describes why sports players get so much money. They influence people so much that they can be like them and give a feeling of hope that they can do something in big in their life. The demand is so high in sports that it is unreal. Everyone wants entertainment. On the other hand though, sports players have to give back to the community because there are a lot of problems going on right now in the world and they can't be selfish with the money. In conlusion, sports stars are still going to get the same money but I think that they are going to realize that they should not be selfish and give out to the community for people or contruies who have problems and need support.

    Source: http://www.davesdaily.com/news/sports_04-05.htm

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  3. Sports is a bussiness and also a game but the good players don't normally get paid as much as the overrated atheletes. Players like Alex Rodriguiez don't deserve 10 years 252 million dollars and he got caught for steroids. More people watch sports so they get more money like from watching commercials during games. Some players deserve the kind of money they earn like Lebron James and Kobe Bryant because they bring home championships not like A-roid. Average Americans don't get paid as much because they don't have fans that pay to see them and they're underappreciated.

    Source-http://ESPN.com
    http://MLB.com

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  4. I think that it is because the entire population is obsessed with sport players. Watching sports is an activity for Americans and therefore the players that they are watching are just as important. People who entertain us as "ordinary Americans" make far more money than we do because they have us to watch them and to give them support. We will all go to a baseball game for example and pay the prices of all the things at the actual stadium. It is an experience for us, but the players defiantely get their share of our spending. Because they are so well known in our society money just comes with it because we all spend a lot of money on our entertainment.

    www.suite101.com/discussion.cfm/businessandfinance/101672

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  5. Sports is something that is valued deeply by many Americans. The sports industry is a business that people use for entertainment. In 2006, the average salary for an NFL player was $1.4 million. I think that the reason for this being so high is because NFL players are elite athletes that are the best at what they do.

    Athletes are used all the time by other companies to help make profits. For example, Under Armor uses pro athletes from all different types of sports to endorse its product. Pro athletes appeal more to people than your regular average Joe.

    Pro sports players aren't selfish people. For example, Dwayne Wade of the Miami Heat has a foundation that helps families get back on their feet after natural disasters. He even donated $500,000 of his own salary to help one woman save her home from foreclosure. The salaries of sports players are often justified because the majority of them give back to the community.

    source:http://wiki.answers.com/Q/What_is_the_average_salary_of_an_NFL_football_player

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  6. Kyle and I believe that the reason that sports stars make so much money is because almost majority of the people enjoy watching sports. It is a way for many people to forget their problems and enjoy their home team win or make the playoffs, and since it is such a big business the players get a lot of money for what they work hard to get through. But the fact is that they are overpaid for what they do considering it is something they love to do and they get paid millions for just playing while other "ordinary Americans" must cope with life struggles as well as to compete with others trying to make a decent salary.
    looking at the difference in pay between a star player and a teacher. we see a big difference in pay for what they do, so we believe that many sports leagues should start recognizing this and trying to make the salaries of sports stars reasonable for what they do.

    www.doanbrook.org/sports/overpaid-sports-stars

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  7. As long as sports arenas continually sell out and ratings for things like the Superbowl and World Series continue to be off the charts, then sports will continue to be multi-billion dollar industries. Take the players out of the equation and you have no CEO's and GM's. No owners to get richer off their team's success, no sponsors to bring you the games, no Madden NFL football, no Stuart Scott to add witty remarks to highlights of games, no ESPN at all. Are you prepared to live in a world without Monday Night Football and the NBA All Star Game? I'm not. In a world so hungry for the all mighty dollar, we will only see these athletes salaries get bigger as the athletes and the sports themselves do. I can't say I can blame them, put a contract under my nose $120 million over 7 years guaranteed and ask me to sign, see if I don't get like Nike and "just do it."

    http://www.buzznet.com/groups/qotd/forum/topics/241881/qotd-are-pro-sports-salaries-too-high/

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  8. Professional athletes get paid ridiculous amounts of money but they also are in control of their salary. The amount of work they put in and how talented they are whether naturally or by working hard directly reflects the amount of money they are paid. I think it is unfair that teachers and those bettering our future generations as well as today's societies are paid much much less then athletes but unfortunately thats reality. It is difficult to regulate professional athlete's salaries when the people paying for them have no limits. I do believe the athlete's are greedy however, and that although some may still love the game that they play, some do it for the money. The professionals are also important in the corporations pay check, they bring in the fans, merchandise is sold because of them, they're the ones playing hard every night to keep the fans coming. Every American has the right to make as much money as they'd like, its all about the opportunities they present themselves to so although it is unfair that teachers and nurses get paid less, it was their choice to turn to the work field they did. But if teachers say they don't do it for the money, why is there arguments over it? My mom is a teacher and learned long ago her job benefits others and the salary isn't great but she loves to do it so she can't complain.


    http://reallythink.blogspot.com/2004/04/are-athletes-paid-too-much.html

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  9. From an economic perspective, the reason for such high saleries comes from supply and demand. Because Americans love their sports so much and apparently can't live without them ( I know I can't), the high demand for prefossional players combined with low supply of players results in high salary for the job. The number of people who are able to the meet the requirements of a professional athelete is relatively smaill, so the demand exceeds the supply. So as a result of this the salaries are driven up. Since the nation needs no more teachers than professional atheletes the supply of teachers often meet or surpass the demand, so teachers get a lower and stable salary.I don't think this is necessarily fair because there are other people in the world saving lives and making a difference who get paid much less

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  10. Sports are a part of our lifestyle. From as long as I could remember sports have been there whether that be watching my uncle yell at the football game or watching my dad yell at the European football game.I don't really know that much about any sports other than soccer, so that's going to be my focal point of discussion. Today in the world we live in entertainment is the highlight of our society. Athletes are being paid more for what they do in a game, than unrecognized scientists do all their lives. In the world of European soccer teams, players are bought up at high prices in order to make their team win games. Not so long ago Fernando Torres, a lead scorer of the Euro Soccer season, was bought at "20 million" to play for Liverpool's team. The owners of the team even spent "$343 million" to create a stadium for the city. In Europe, sports rule. However just because a player is better doesn't justify being paid millions of dollars just to kick a few soccer balls. From a economic standpoint, I find it somewhat ridiculous, but understand it. Soccer is what is true to the countries, and if they choose to watch the best play, that come from where their home country, it makes sense. A majority of shows in Europe are from the USA, and soccer is one of the things that is true to their culture. It maintains their unity and allows them stay as a unified force against outside influences. As the previous person stated, it isn't fair, but then again life isn't fair, and when sports rule a nation, nothing can be done about it.

    http://news.bbc.co.uk/sport2/hi/football/europe/6239286.stmhttp://news.bbc.co.uk/sport2/hi/football/europe/6239286

    http://www.businessweek.com/globalbiz/content/feb2009/gb20090217_130825.htm?campaign_id=rss_topStories

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  11. I think that Athletes make so much more money than an average American person makes is because the athletes are paid to entertain and they're good at what they do. They make money selling tickets for games. The sports industry highlights players as idols to the youth. Some companies also pay they players to advertise products for them. Which just adds on to the millions of dollars that they make just for the season. But as a player, you really have to be careful with the activities you do because if you get hurt or if you get sick, that can be the end of your career. I think that an average person who does good for the society doesn't get paid much is because the government doesn't think that they're doing much of an impact that people may look up to.

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  12. Any sports player, in my opinion, deserves to get paid the $27,000,000 but only if it's deserved. Shaquille O'Neal gets an average of 30 million dollars each basketball season because he deserves it. According to ESPN Sports Center, "Shaq is the most dominant post player in the game today". However, being a teacher or a doctor isn't bad, just the pay isn't as good as the pay of a professional sports player. And this doesn't even include how many sponsors they have. LeBron James sign a contract with Nke for $90,000,000. If that were me, I would take the money and I would be set for life. But that's not the case; the point is, you can acquire teaching skills and medical skills at school. But sometimes it's because you want to do it as a job, not for fun. Most NBA, NFL, or MLB players do it to have fun and provide entertainment. It just happens to be what they do for a living. Publicity also plays a major role in how much professional sport players make. If they're famous, they get mobbed by cameras and journalists. You don't see doctors making the headlines for saving someone's life.

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  13. Professional athletes make so much more money than the average American because sports make a lot of money. There is a high demand for athletics and athletes demand a high salary because of their fame and success. Athletes realy do not deserve to be paid that much, especially since they are only playing sports. I love sports but I don't think that they sould be paid way more than teachers. I am just glad that they do community service and donate a lot of their money to charities. Most of them are very active in the community, but I think that's the least they could do. Some athletes do not even have as much education as an average American.

    "'Professional athletes are making too much money in a society where salaries and wages are traditionally based on the value of ones work' ("Professional AthletesÉ"). In today's society, one will be paid more if their job is more economically important. However, teaching is one of the most economically important occupations because our future economy relies on the education of its youth, yet teachers are paid much less than the average professional athlete. The U.S President makes decisions that affect our economy and yet he only makes 250,000 dollars a year (Turner). Professional athletes do not play near as vital role in the economy as the president, but their salaries reflect otherwise. These games are supposed to be played for fun, not for millions of dollars."

    http://www.123helpme.com/assets/10243.html

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  14. They can be explained by the money the team makes. When you go and by a Lakers Shirt the money goes to the vendor and royalties are payed to the team. This happens with all their merchandise, and for tickets sold for games. These athletes are highly paid because the team makes enough money to give to them or pay them. It might be unfair but it's just how it goes.

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  15. I do believe that basketball players are overpaid, especially in comparison to workers such as teachers and nurses. Our economic book mentions on page 205 “In the case of professional ball players, the law of supply and demand is especially important in setting salaries. The public likes to watch professional sports, and so there is a high demand for professional sports players.” While professional sports players are glorified and paid way more than the average person, we often forget that while they are not saving lives, entertainers like them are the ones we often turn to in good times and bad. They are role models and examples of following your dreams. However, there are a lot of other professions that should be paid a lot more for their services over entertainers and athletes.

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  16. People like watching sports, that not news to anyone. For many “normal” people it is a way to relax after a hard day of work. Most of these people are shocked when they learn how much a professional athlete earns, many believe that athletes are overpaid. I myself believe this. Athletes do not save lives like nurses and doctors, they do not put themselves in harms way to save others like police officers and firefighters, they do not prepare the future generations of this country like teachers, they provide entertainment. One surprising argument is that focus on sports starts in school. “Schools place an emphasis on sports, making students neglects their studies and grades because it is reinforced that from a young age that supports are an important part of life.” I do believe that schools place too much emphasis on sports, but it does raise school moral. I can also see the good side of sports, it raises people moral and as the textbook said many people cannot play on level that professional athletes do. Athletes also constantly travel, sometimes being away from their homes and families for weeks at a time. It would also be impossible to regulate salaries, the demand for talented athletes is too high.

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  17. This is my source

    http://www.associatedcontent.com/article/676003/are_professional_athletes_overpaid.html?cat=14

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  18. Nathalie1 & Sydney 1March 17, 2009 at 5:19 PM

    We think that these high salaries of sports players are not justified. Sports players are paid those insane amounts to play games and practice, where as an educator teaches and bestows knowledge upon others every day, and they don't even make close to half of a player's salary. Nt even teachers, but graduates of op universities don't even make that much money a year. The sport world filled with merchandise, ticket cost, and team fundraisers is very skewed. Teachers and other hard working Americans' salaries don't give them enough credit for what they do on a daily basis.
    Jerry Rice, a well known football player for the Oakland Raiders is reportedly paid $10 million dollars every 2 years, and $5 million annually.
    An professor at Stanford University only makes $173,000 annually, not even close to the salary of Jerry Rice. The sports world and the REAL WORLD are two completely different places. The salaries the players earn aren't deserved for what they do.

    http://daily.stanford.edu/article/2008/5/22/facultySalariesDifferBySpecialityTenure

    http://wiki.answers.com/Q/How_much_was_jerry_rice_salary

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  19. They can be explained by the money the team makes. When you go and by a Lakers Shirt the money goes to the vendor and royalties are payed to the team. This happens with all their merchandise, and for tickets sold for games. These athletes are highly paid because the team makes enough money to give to them or pay them. It might be unfair but it's just how it goes.
    Reposted For Credit

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