The optimist sees bubbles and thinks of champagne. The pessimist thinks Alka-Seltzer.
The fact of the matter is that everyone thinks the Dodgers are the richest organization in baseball and should sign an All-Star at every position because that is the recipe for a World Championship. If you believe that, you are either naive or very dumb… or both.
First off, what is the Luxury Tax? Actually, it’s called the Competitive Balance Tax. It is just called the “Luxury Tax” because that is what it is called… duh. Each year, clubs that exceed a predetermined payroll threshold are subject to a Competitive Balance Tax – Those who carry payrolls above that threshold are taxed on each dollar above the threshold, with the tax rate increase based on the number of consecutive years a club has exceeded the threshold.