Market Power

Musings by an academic economist on the power of markets and the power over markets.

Tuesday, November 02, 2004

NHL Lockout Update

It's day 47. Do you know where your NHL team is?

The teams and the players' union have not met in almost two months and the primary sticking point is a hard salary cap. This article in the Washington Post reports that the union will hold a meeting with representatives from the 30 teams to let them know about what's going on in the labor dispute.

Some are playing in the American Hockey League. Nearly one-third of the NHL players have contracts to play in Europe this year. This article reports that most of the players' contracts have clauses in them that will allow the players to return to the North America when the dispute ends. This flexible opportunity allows NHL players to earn an alternative income and allows them to keep in playing shape. This should strengthen the union position.

But some of the younger players have expressed public concern for the union position. The meeting is a chance for the union to bring these players in line.