
Let's start with Amar'e Stoudemire. Amar'e is an amazing player, nearly as good as LeBron, and on some days, he's actually better. Stoudemire was going to earn $17.6 million in the final year of his contract with the Suns, but he has exercised an early termination option on his contract to search for something better.
Next, there's Carmello Anthony, the guy who spent a year at my very own Syracuse University. He's being pushed to sign a three-year, $65 million extension, but may decide to pass. Melo is another player who can give LeBron a run for his money.
Finally, there's Paul Pierce, who led the charge toward getting LeBron out of the playoffs this season. According to ESPN.com, Piece has told the Boston Celtics that he'll be opting out of the final year of his contract to become a free agent. He passes up $21.5 million next year, but may sign a four-year deal worth $90 million.
When I see all the craziness occurring in the NBA, I have a few thoughts:
First, it's odd to me that the NBA has leveraged so much of its brand on King James. The truth is that by making LeBron the natural heir to an NBA title, we are not only putting a tremendous amount of pressure on him, we are also offending every other incredibly talented, hard-working player in the league. That's why I figured that one of the other All-Stars would make sure LeBron didn't make it to the championship series.
Second, while it might seem that the players are making gobs of money (which they are, in an absolute sense), the truth is that relatively speaking, they are actually getting robbed. If salary caps and free market restrictions were not in place, NBA players would be earning as much as $50 million per year. The turning point occurred in 1996, when Kevin Garnett was offered $21 million per year, leading the NBA owners to lock out the players. After the lockout, limitations to player salaries were put in place, keeping them at what some argue to be a manageable level. Therefore, 14-years later, top players are making the same money that Kevin Garnett was offered in 1996.
The point here is not to say that we should feel sorry for NBA players. The point is that owners don't offer $21 million to a player because they are stupid. They offer the money because the player's presence is generating revenue on a scale that justifies their salary. This extra income doesn't go away just because owners are paying the players less money. When the players aren't getting fair market salaries, team owners are able to pocket the difference, making themselves wealthier in the process.
Long story short: players get paid well, and owners get disgustingly rich. But with many NBA players not getting educated by their universities, they probably don't even notice.
Dr. Boyce Watkins is the founder of the Your Black World Coalition and a Scholarship in Action Resident of the Institute for Black Public Policy. To have Dr. Boyce commentary delivered to your email, please click here. 
Comments: (17)
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By: meanvee on 7/01/2010 6:44PM
Dr.Boyce, you need to write an article on how much profit is each owner making on the team they own, not what they make from their other businesses or ventures, just from the team they own.
http://www.BestChoicePayday.com
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By: mattiyu on 7/03/2010 9:18AM
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By: Benny on 7/02/2010 2:42AM
Garnett's $126MM/6 year deal wasn't signed until the 1997-98 season and did not take effect until 1999. Dr. Watkins raises an excellent point in this article, though.
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By: Don on 7/02/2010 10:24AM
Thanks for helping to put things into perspective. David Stern claims that the NBA lost over $400 million this past season.
Right.
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By: M. Alexander on 7/03/2010 7:30AM
NBA team owners make gobs of money compared to what they pay out but then again that's what a business does !
If people really understand the perks that team owners get they would be outraged ! Most arena's, stadiums and baseball parks are financed by tax money, bonds and other financing that team owners get ! They hold a city hostage by threatening to move their team if their demands aren't met and cities usually cave in !
Team owners spend ZERO on the construction of arena's, stadium's, and baseball parks while reaping huge rewards financially !
Take Jerry Reinsdorf owener of the Bulls for example, the Bulls play in the United Center which was totally financed by the state of Illinois at no cost to Reinsdorf and the state pays for all the upkeep ! Sweet deal I'd say !
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By: larryhorse713 on 7/03/2010 11:34PM
Actually the United Center was privately financed by Reinsdorf and the Wirtz family. U.S. Cellular Field was financed by the state in 1988 after the White Sox threatened to movie to St. Petersburg.
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By: william montgomery on 7/03/2010 10:09AM
THE OWNERS MAY BE GETTING DISCUSTINGLY RICH. BUT WE MUST ALSO ACKNOWLEDGE THE INVESTMENT ON THE PART OF OWNERS AND SHARE HOLDER OR PARTNERS.THE PLAYERS COME WITH ONLY TALENT. THE OWNERS COME WITH MONEY AND FORUM TO MARKET THIS TALENT. SO BECAUSE THE RISK IS GREAT. SO SHOULD THE REWARD BE GREAT. WITH THE MONEY THE PLAYERS MAKE THEY HAVE THE POTENTIAL TO BE WEALTHY OR WEALTHIER THEN THE OWNERS. ONE COULD GO IT ALONE. OR THEY COULD POOL THEIR RESOURCES. BUT STAYING IN SCHOOL GETTING YOUR EDUCATIONS IN BUSINESS OR FINANCE. IS TO MUCH LIKE GOING RIGHT. IT SOUND LIKE SOME ARE INSINUATING THE PLAYERS ARE BEING PLAYED. WELL IF GETTING PAID 16 MILLION A YEAR IS GETTING PLAYED THEN ALL I CAN SAY IS PLAY ON PLAYER.
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By: PANAMA KID on 7/03/2010 12:25PM
I PERSONALY DONT THINK ANY PLAYER IS WORTH THAT MUCH MONEY BUT SINCE THE OWNER ARE GETTING RICH AND I MEAN MULTY RICH THEN THE PLAYER AND THEIR AGENT GOT GREEDY WHAT THE FANS NEED TO DO IS JUST DONT GO 2 ANY OF THE GAMES UNTIL THEY BRING THE PRICE DOWN
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By: phil beaver on 7/03/2010 1:17PM
With all due respect I stopped reading when you said that these players were "almost" or "nearly" as good as Lebron! Are you kidding me????!!!!
Stick to what you know cause this aint it!!!!
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By: M. Alexander on 7/05/2010 2:13AM
To put all of this into perspective, these guys are getting paid really well to do what most young men do everyday ........ get with friends and play blacktop pick up games but it's still mind boggling that they are paid so much money for putting a ball through a metal hoop !
America is a really weird place ! Some people work hard for very little money while others seemingly do nothing at all and reap huge paydays !
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