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JockStocks: Will steroids ever drive fans away from baseball?

It's like clockwork, seriously ... recently, every year around the Baseball Hall of Fame inductions there is news that A) Bud Selig is or isn't considering lifting the lifetime ban against Pete Rose and B) names from the list of players who tested positive in 2003 are leaked.

As for option A, Pete belongs in the Hall of Fame -- but not in baseball. I mean seriously, he has the most memorabilia in the Hall of Fame, so induction is theoretically academic. Enough of that though, I want to take a look at the steroid list and the potential economic impact on baseball.

Continue reading JockStocks: Will steroids ever drive fans away from baseball?

Will economic collapse hurt contracts for baseball players?

In light of current economic conditions, you might be worried about your situation: your job security, your home's value, your 401(k), and how you're going to pay for your kid's college.

But hey: quit being so selfish, and have a little sympathy for the real victims of this mess. That's right: professional athletes. MLB.com's Hal Bodley reports that "Economic uncertainties facing virtually every professional sports team, every player and, of course, each and every fan undoubtedly will have a trickle-down effect during baseball's offseason."

He goes on to say that teams are expected to be "more cautious, if not conservative, in locking up those not considered superstars," as they cut spending in anticipation of depressed attendance and advertising revenue.

But 2008 revenue hit a record high and some commentators, including agent Scott Boras, who is of course biased, say that baseball may well prove to be recession-proof. But I'm not so sure. It may be that attendance and consumer interest in the game will remain robust, but leading sponsors, especially in the financial industry, may be less aggressive with their marketing dollars. The PGA Tour is certainly seeing that effect already.

It looks like it could be a blue Christmas for Manny Ramirez.

John Kerry attacks baseball's TV deal

Senator John Kerry told a Senate hearing on Tuesday that changes are needed in ensuring that Americans have easier access to out-of-market baseball games. It's great to see the politicians finally focusing on what's important.

According to Kerry, "I have no doubt that there are business advantages, but what is the impact on fans? They lose the content. Or, as we will discover today, they are forced to change their TV service to see games. That is wrong. That is a sign that the system is not working."

In a deal announced March 8, DirectTv Group Inc. (NYSE: DTV) became the only provider where people could access Major League Baseball's Extra Innings package, allowing fans to see nearly every single out-of-market game. Under the new deal, according to Kerry, "Once it moves to DirecTV, that access is going to be reduced by about five-fold."

Boston Red Sox fans will note that this is not the first time Kerry has made headlines for comments on baseball. While on the campaign trail, he announced that his favorite player was "Manny Ortez," apparently some sort of hybrid of Manny Ramirez and David Ortiz. According to baseball writer Peter Gammons, "A few years back Kerry went on a Boston station with Eddie Andelman and said "my favorite Red Sox player of all time is The Walking Man, Eddie Yost," who never played for the Red Sox."

If Kerry is successful in his crusade for access to out-of-market games for regular fans, he could regain some of his baseball credibility.

eBay bans Manny Ramirez grill

You can't ever say that Boston Red Sox fans aren't enthusiastic. A gas grill, reportedly listed by Manny Ramirez, has been removed from online auction site eBay Inc. (NASDAQ:EBAY) after bids spiked to nearly $100 million. Originally purchased for about $4,000 and used once, according to the Red Sox slugger's testimony, the minimum bid of $3,000 was registered shortly after 1:00 p.m. Tuesday. By midnight, the offers were out of control.

While the site offered no explanation for the listing's removal, other parts of the eBay web site warn that items may be taken down if thought to violate eBay policies. The listing had featured seven pictures of the Jenn-Air grill, two with Ramirez in the shot.

When asked by the Associated Press why he was helping sell the grill (later discovered to belong to a neighbor), the ballplayer with the $160 million contract joked "I need the money." He also promised an autographed baseball for the winning bidder.

Beth Gaston Moon is an analyst at Schaeffer's Investment Research.

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Last updated: November 27, 2009: 07:39 PM

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