Alex Rodriguez Was the Highest Played Baseball Player in 2012

question 129

Essay

Alex Rodriguez was the highest played baseball player in 2012, earning about $32 million playing for the New York Yankees. Explain the economic justification for the owners paying such a high salary; be sure to incorporate the concept of marginal revenue product (MRP) into your answer.

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Definitions:

Wallpaper

Decorative material used to cover and adorn the interior walls of homes, offices, and other buildings.

Answering Machine

A device or system for recording incoming telephone messages when the recipient is unable to answer the phone.

Duress

Compulsion, force, or undue pressure exerted upon a person to coerce them into performing an act against their will.

Threatens

Expresses an intention to cause pain, injury, damage, or other hostile action against someone in retribution for something done or not done.