OhtaniGraphs: Spreadsheet Edition

So, so, so much digital ink has already been spilled writing about Shohei Ohtani’s groundbreaking, $700 million contract. It’s a sign of baseball’s new era. Maybe it’s an accounting gimmick. Did he sell himself short? Did he set a new high bar? Is he giving the Dodgers a loan, or an unfair competitive advantage? Is the competitive balance tax broken?
I don’t really think it’s any of those things, as you can probably tell from the fact that I included them in my opening paragraph, and in rapid succession at that. In fact, I don’t have much of an opinion about what this contract “means.” I don’t think it’s a good idea to try to figure out how baseball works based on a unicorn, basically. You’d do just as well trying to figure out how countries work by looking at Singapore, or how weather works by looking at a tornado.
That said, boy do I love numbers, and I especially love goofing around with them. I really enjoyed Jon Becker’s CBT explainer, as well as Rob Mains’s look at deferrals and tax regimes. One thing that I feel very strongly about is that treating this as either Ohtani getting fleeced by the Dodgers or him and the team pulling a fast one on the entire league is misunderstanding the situation. Read the rest of this entry »