What is NBA Cap Room ad how does it affect signing players and contracts?

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What is NBA Cap Room ad how does it affect signing players and contracts?

In: Economics

2 Answers

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The NBA has a salary cap — the total amount each team can pay its roster of players. Cap room is how much of the cap they have uncommitted, so that it can be spent to sign additional players. If a team wants to sign a player, they need to have enough cap room to do so. If a team only has $10mil of cap space, they can’t sign a player demanding $20 million

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