The issue of "tanking" - when teams intentionally lose games to improve their draft position - has long plagued the NBA and NFL. But as NBA Commissioner Adam Silver recently acknowledged, the problem seems to be getting worse. What this really means is that the current incentive structures in these leagues are fundamentally flawed, and drastic action is needed to fix them.
The Misalignment of Incentives
As Silver pointed out, the traditional model of rewarding the worst-performing teams with the highest draft picks essentially creates a perverse incentive for teams to tank. In his own words, "when any economist comes and looks at our system, they always point out you have the incentives backwards there." The bigger picture here is that this structure fundamentally undermines the competitive integrity of the leagues.
The problem is exacerbated by the increasing sophistication of sports analytics, which makes it clearer than ever before how much teams can gain by deliberately losing. As Silver acknowledged, "the incentives are not necessarily matched here" - the current system actually rewards bad behavior rather than promoting true competition.
Potential Solutions
Clearly, the leagues need to take drastic action to address this issue. Silver has indicated that the NBA is considering a range of potential remedies, from fining and revoking draft picks from tanking teams to overhauling the entire draft and lottery structure.
While the specifics are still being worked out, the underlying principle should be clear: the only way to truly "align incentives" is to remove the incentive to tank in the first place. This could mean dramatically reducing the rewards for being a bottom-feeder, or even scrapping the draft system entirely in favor of a more equitable player distribution model.
The stakes are high - as this article on the Bobcats' recent dominance shows, the impacts of tanking can be felt across the entire league. And as another article explores, the consequences for individual teams can be catastrophic. The NBA and NFL need to act decisively to preserve the integrity of their competitions.
While there may be no perfect solution, the status quo is clearly untenable. By aligning the incentives of teams and players with the goal of true competition, the leagues can restore faith in their products and ensure a bright future for professional sports.