LeBron James is underpaid

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LeBron_Heat.jpgWhile LeBron James was still deciding where to take his talents, a fun bar stool/message board discussion was how much would LeBron be offered in a non-capped open market? $30 million a year? $40 million?

But the market is capped, and LeBron will start making $14.5 million this season. Which is a real bargain, according to what Ian Thompson of Sports Illustrated was told.

“I’m projecting for next year he’ll be worth $31 million,” said Rich Steinlauf, a New York-based analyst who has been studying the NBA for three decades.

Steinlauf’s system looks at the impact of a player to determine a worth based on his share of a standard team payroll. Which leads to an interesting conclusion.

Miami’s off-season coup of signing James, Wade and Chris Bosh has given the Heat the league’s most cost-efficient payroll, according to Steinlauf. While some will question the $18.3 million average salary Bosh will earn over the next six years, Steinlauf insists that the Heat are paying him what he’s worth.

Steinlauf is right. I don’t love his system, but he is right about the finances.

Since the dawn of professional sports in America, it is largely the stars that sell the team and make the money. That is particularly true in basketball. The money that a LeBron James or Kobe Bryant or Dirk Nowitzki generate in ticket sales (and with that concessions and parking), in uniform sales, the boost they provide in marketing far outweigh what they are paid. Put simply, LeBron is going to bring in a lot more money to the Heat than what he gets in salary.

Where that table turns is the mid-level guys. While Kobe is generating the income in Los Angeles, Lamar Odom and Luke Walton and even Andrew Bynum are the beneficiaries, not really generating what they make. It’s that way on every team. Really, in every sport.

If you want to make the argument that they are all overpaid because they are playing a sport for a living and we should be paying teachers and firefighters more, then go ahead. But that is a cultural argument about the value of entertainment in our culture and our economic structure. Our top entertainers make a lot of money, but they generate a lot of money and we live in a capitalistic society where you (basically) get paid for what you generate. Fair or not, just or not, that is the reality.

So yes, LeBron James is underpaid.

All-Star game television ratings are best since 2013

Western Conference forward Anthony Davis of the New Orleans Pelicans (23 ) slam dunks during the first half of the NBA All-Star basketball game in New Orleans, Sunday, Feb. 19, 2017. (AP Photo/Gerald Herbert, Pool)
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NEW YORK (AP) — The NBA All-Star game drew an average audience of 7.8 million viewers, making it the most-viewed All-Star broadcast since 2013.

Turner Sports announced the numbers on Monday. The number of viewers peaked at 8.5 million and the total audience was up 3 percent from last year’s game.

The hype surrounding the game centered on Kevin Durant and Russell Westbrook playing on the Western Conference team together. Durant left Oklahoma City last summer to join Golden State, leaving his longtime teammate Westbrook behind with the Thunder. Westbrook did not hide his dissatisfaction with Durant, which ratcheted up the intrigue heading into the game on Sunday.

The two shared the court for just 81 seconds and Oklahoma City posted the highest local market rating with a 10.9.

Report: Timberwolves, Knicks discuss Derrick Rose trade

NEW YORK, NY - DECEMBER 02:  Derrick Rose #25 of the New York Knicks takes a shot as Kris Dunn #3 of the Minnesota Timberwolves defends at Madison Square Garden on December 2, 2016 in New York City.The New York Knicks defeated the Minnesota Timberwolves 118-114. NOTE TO USER: User expressly acknowledges and agrees that, by downloading and or using this Photograph, user is consenting to the terms and conditions of the Getty Images License Agreement  (Photo by Elsa/Getty Images)
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The Timberwolves — 3.5 games and five teams out of playoff position — have made reaching the postseason this year a priority.

So, within that nonsensical goal apparently comes a nonsensical idea: Trading for Derrick Rose.

Ian Begley of ESPN:

The Minnesota Timberwolves have reached out to the Knicks recently to discuss potential trades for New York point guard Derrick Rose, sources told ESPN.

The Timberwolves, sources say, are among several teams to reach out to the Knicks asking about potential trades for Rose.

Rose, of course, played for Timberwolves president/coach Tom Thibodeau with the Bulls. That makes this report both plausible and something the Knicks would leak to drum up interest.

I can’t imagine a market especially eager to acquire Rose, who will become a free agent next summer. His $21,323,252 salary is difficult to match in trades without sending out too valuable of players. Rose has become a good downhill driver, but the rest of his game is lacking after years of injuries.

The Timberwolves have nearly $13 million of cap space, which could be useful in facilitating a deal. But they also have three intriguing point guards: Ricky Rubio, Kris Dunn and Tyus Jones.

If Minnesota really wants Rose, it could just sign him this summer. His Bird Rights shouldn’t matter much. Who would give the 28-year-old a five-year contract?

Rubio for Rose straight up works financially, for what it’s worth. The Timberwolves shouldn’t do that, but we don’t know enough about Tom Thibodeau running a front office to assume they won’t.

Report: Pelicans trying to trade Terrence Jones

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After their trade today, the Pelicans have the NBA’s most dynamic big-man tandem: Anthony Davis and DeMarcus Cousins.

Davis and Cousins are tall, athletic and skilled in a combination we might have never seen from any power forward-center duo since Charles Barkley-Hakeem Olajuwon. New Orleans’ two could thrive together, and while they develop chemistry, they’ll each likely get minutes without the other.

That doesn’t leave much playing time for someone like Terrence Jones.

Chris Haynes of ESPN:

Jones settled for a one-year minimum contract after an injury-plagued and inconsistent tenure with the Rockets. His inconsistency remains, but considering his salary, his highs more than justify dealing with the lows. At just 25, Jones could still figure out how to reliably contribute.

Jones’ contract dictates he be rental, which will lower his trade value. But he could help teams trying to win down the stretch — including New Orleans.

Dante Cunningham seems more favored at power forward, and Donatas Motiejunas can fill in. But the Pelicans could still use Jones.

Shopping him might be a favor to the player, but we’ll see whether an actual trade is part of the gesture.

Source: Other team pulled ‘better’ trade offer for DeMarcus Cousins due to agent’s threat

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The Kings traded DeMarcus Cousins and Omri Casspi to the Pelicans for a first-round pick, a second-round pick, Buddy Hield, Tyreke Evans and Langston Gallowayshockingly little return for Sacramento’s franchise player.

“I had a better deal two days ago,” Kings general manager Vlade Divac said.

Um, what?

Divac made Sacramento look foolish with that quote, but according to a league source, the problem was more poor communication with the media — something Divac is no stranger to — than terrible trading.

According to the source, the potential trade partner made an offer only to pull it once Cousins’ camp threatened the star center wouldn’t re-sign in 2018. Cousins’ agent, Jarinn Akana, publicly said before the New Orleans deal was consummated that it was “highly unlikely” Cousins would re-sign with any team that trades for him.

The trade made Cousins ineligible to become a designated veteran player, costing him at least a projected $29.87 million on his next deal. So, Cousins had clear incentive to stay in Sacramento.

Another source involved in Cousins trade discussions confirmed Cousins’ camp attempted to dissuade teams from trading for him, though that source did not confirm a pulled offer.

It’s unclear whether the Kings could have completed the “better” offer before the other team pulled out. The offer was presented as available to Sacramento for a day or two, according to the first source, though the other team could have always backed away at any point as it received more information.

This situation isn’t unfamiliar to anyone who follows college recruiting, where there are differences between offers, Offers and committable offers and everyone has their own definitions of each term.

Divac has struggled as Sacramento’s general manager, and his track record opens him to the type of mocking he received in the wake of his “better offer” remarks. But, though there’s still some mystery in the Kings’ trade process, attacking Divac based solely on this comment is probably piling on too far.

There are already enough reason to believe Sacramento erred on this deal.