One of the biggest topics in baseball this year is how teams will be getting $25-27 M per year due to the new national TV revenues. That originally led to a lot of assumptions that teams would go crazy with the new money. As far as individual teams, it led to "they have $18-27 M extra to spend", with the variance depending on how much you believed MLB was holding back from teams.
I took the same approach early in the off-season. I looked at where the Pittsburgh Pirates ended up last season (around $74 M). I added the $20 M in payroll, plus added revenue from the playoffs and ticket sales, and assumed they could spend up to $100 M with all of the new revenue. That doesn't mean they should spend that amount. Just because you have money to spend, doesn't mean you have to spend that money.
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