Meet the Street: Is Baseball Taking Its Eye Off the Ball?

If baseball is truly America's pastime, then would doing away with some of its teams be considered, well, un-American?

Andrew Zimbalist Professor of Economics, Smith College

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That is what Bud Selig, baseball's commissioner, has suggested as a solution to the league's economic woes. Despite a magical baseball season that included a thrilling World Series matchup and slugger Barry Bonds breaking the single-season home run record, two major league teams could end up on the chopping block.

The disparity among major league franchises has grown significantly in the last 10 years, resulting in the inability of small-market teams to compete with large-market teams. As a result, the owners made an almost unanimous decision this week, approving a potential plan to eliminate two of its teams prior to next season.

Although they did not specify which teams would be cut, the likely candidates appear to be the Montreal Expos and the Minnesota Twins. The Florida Marlins and Tampa Bay Devil Rays also have been mentioned in contraction talks. According to Selig, the teams being targeted for elimination have not generated enough revenue to operate a viable major league franchise, and contraction is in the best interests of the game.

But Andrew Zimbalist strongly disagrees. Zimbalist, a respected economics professor at Smith College and author of the book, Baseball and Billions argues that contraction will not solve the league's fiscal troubles, but will only perpetuate them and hinder the growth of the game. Zimbalist weighs in on the negative implications of the proposed contraction and what baseball can do to right the ship.

TSC: In broad terms, what led to the owners' decision to approve a potential plan for contraction? ...