When Bosses Collude Against Their Talent

October 20, 2010

Back in the 1980s, Major League Baseball owners were unhappy about having to match other teams’ lucrative offers to free-agent stars. They made what they thought was a gentleman’s agreement to shut down the talent market. It worked, though only for awhile. There were 62 free agents after the 1985 season. Only four changed teams. There was a similarly peculiar lack of demand for top-tier players following the 1986 and …

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