A salary cap is a limit on how much a team can spend on players. Depending on the loopholes, salary caps have a tremendous effect on how sports teams recruit and hire its players. A salary cap with loopholes is called a soft salary cap. This is as effective as punishing Hannibal Lector with a time-out. But I am for the idea of a hard salary cap, one without loopholes, like signing bonuses, that would be beneficial to sports.
Many opponents argue that salary caps go against capitalism.
They state that no one should have the right to limit how much another can earn. However, one can cite many examples where individuals' salaries are restricted. Government officials such as politicians, teachers and law enforcement officers are restricted. Therefore, the thought that salary caps are un-American is as flawed as edible undergarments. Some opponents say that setting boundaries on how much players on a sports team can earn will cause tremendous turn over of the premium talent leaving teams.