In an earlier discussion, I took a look at the correlation between TV Market Size and MLB Club Payroll. An interesting question came up in the comments section. The question was this - Does payroll matter in regards to wins? I changed the question slightly to this - Do high payroll teams have more postseason appearances?
As a reminder, I am using the End-of-Year payrolls as the sorting value. This number can vary significantly from Opening Day payrolls as teams make trades for the final push. I have data from the Biz of Baseball going back to 1999, so it is a good reflection of modern baseball.
There is too much data to examine properly in one post, so I am starting with the National League.
To make it into the postseason a team only needs to have a better record than the other teams in its division. Because of that, I only compared the division winner’s payroll to other teams in the division.
To gain the wild card, a team must have a better record than all other teams in the league (except for the division winners). So, I sorted the wildcard teams by their payroll rank in the league after excluding the division winners.
In the charts below, you will see three items: the year, the team that won the division, and that team’s payroll rank. To measure the division winners, I sorted them by their payroll rank within their division. A division winner with a "1" means it also had the highest team payroll in the division. To further labor the point, a "2" means the second-highest payroll, and a "3" means the third-highest payroll.
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NL EAST
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||
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Year
|
Payroll Rank
|
Team
|
|
1999
|
1
|
|
|
2000
|
1
|
Braves
|
|
2001
|
1
|
Braves
|
|
2002
|
2
|
Braves
|
|
2003
|
2
|
Braves
|
|
2004
|
3
|
Braves
|
|
2005
|
3
|
Braves
|
|
2006
|
1
|
|
|
2007
|
2
|
|
|
2008
|
2
|
Phillies
|
|
2009
|
2
|
Phillies
|
|
2010
|
1
|
Phillies
|
|
2011
|
1
|
Phillies
|
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NL CENTRAL
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Year
|
Payroll Rank
|
Team
|
|
1999
|
1
|
|
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2000
|
1
|
|
|
2001
|
3
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Astros
|
|
2002
|
1
|
Cardinals
|
|
2003
|
2
|
|
|
2004
|
2
|
Cardinals
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|
2005
|
1
|
Cardinals
|
|
2006
|
3
|
Cardinals
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|
2007
|
1
|
Cubs
|
|
2008
|
1
|
Cubs
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|
2009
|
3
|
Cardinals
|
|
2010
|
5
|
Reds
|
|
2011
|
3
|
|
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NL WEST
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||
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Year
|
Payroll Rank
|
Team
|
|
1999
|
2
|
|
|
2000
|
5
|
|
|
2001
|
2
|
Diamondbacks
|
|
2002
|
1
|
Diamondbacks
|
|
2003
|
2
|
Giants
|
|
2004
|
1
|
|
|
2005
|
3
|
|
|
2006
|
3
|
Padres
|
|
2007
|
3
|
Diamondbacks
|
|
2008
|
1
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Dodgers
|
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2009
|
1
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Dodgers
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|
2010
|
2
|
Giants
|
|
2011
|
4
|
Diamondbacks
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For this last chart, I list the wild card winners and their rank within all non-division-winners in their league.
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NL WILD CARD
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Year
|
Payroll Rank
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Team
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1999
|
2
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Mets
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|
2000
|
2
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Mets
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|
2001
|
3
|
Cardinals
|
|
2002
|
5
|
Giants
|
|
2003
|
10
|
|
|
2004
|
5
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Astros
|
|
2005
|
6
|
Astros
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|
2006
|
2
|
Dodgers
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|
2007
|
10
|
|
|
2008
|
5
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Brewers
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|
2009
|
6
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Rockies
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|
2010
|
7
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Braves
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|
2011
|
4
|
Cardinals
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By my count, the teams with the highest payroll won their division an impressive 41% of the time. Throw in the second-highest payroll, and the figure climbs to 69%.
Wildcards seem to be the great equalizer, at least in the National League. No top spenders made the cut, and the #2 spender was only successful in 3 tries out of 13. There also appears to be a "lightning in a bottle" effect with the 2003 Marlins and 2007 Rockies.




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