Economics, Football and Tom Brady

   I am always looking for microcosms to help explain complex ideas and there is no more complex topic than economics.   We need ways to get across to our young people how different economic systems work and don't work and why.

     Last week while watching my favorite team,The New England Patriots, I was intrigued to hear one of the TV announcers mention that Tom Brady doesn't throw to every receiver on the field.   They have to first EARN his trust before he throws the ball to them.  This trust is earned over times of practice by how hard they work and if they perform well on the field.  It was then that it occurred to me that competition on the football field not only occurs between the two teams, but also between the players on the SAME team.  Tom Brady uses this inter-team competition to help influence his players to improve their skills and become better players in the process.

    We could call Tom Brady's method the Capitalism Method of Football Management as he uses competition to improve his players and rewards "results" with more opportunities to show their skills. This helps not only the new players to work harder to earn his trust but it also helps his current "trusted" receivers to continue to work hard because they know that trust can be lost as quick as it can be earned.  This doesn't mean that Brady will stop throwing to Edellman if he drops one pass to him next Sunday, but it does mean that if he drops a long series of passes to him, Tom may be looking to one of his other receivers.   The reason for this is that each dropped pass is like a $1000 dollar thrown down the toilet.  Tom needs to make sure as many passes "count" for them to win their games.  So also companies, like Tom Brady, want to maximize the money they spend.  By using inter-company competition managers insure that their workers are bettering their skills and workers that have earned their trust are rewarded with more opportunities to show their worth to the company.  Giving larger amounts of money (and responsibility) to workers who have earned it insures that less money has the possibility of being lost or wasted.

     Are there other ways for QB's to decide who to throw to? 

     Of course!

     Another way would be for the QB to throw to his friends and those guys he likes to be with.  Call this the Fascist Method.   Tom could throw lavish parties and invite his receivers to these parties.  The ones who show up the most and cozy up to Tom at them and make his parties the most enjoyable would be rewarded the most during the game.  While this doesn't happen at the NFL level (at least not very often), it does happen at the high school level.  The game no longer becomes about winning and losing but instead about who's more popular.   This method is by far the worst method as it doesn't sensitivities the good players or the bad players to do better at receiving as that is not the method used to measure the receiver by and determining who gets the ball thrown to them.  Like Pavlov's dog, the dog only salivated when the bell was rung and not when a whistle was blown so also we react to the event that rewards us and ignore the one that doesn't. In the football scenario, it would cause the good players to stop practicing and spend their time socializing with the QB in order to get what they want (i.e. more passes). For this reason Fascism in an economic sense is a horrible system as it rewards people for things that don't benefit society at all and causes those who do want to work hard to change their behaviors to be unproductive rather than productive.

     A third way for a QB to distribute the passes would be for him to equally distribute them to all of his receivers.  Call this the Socialist Method.   While this method is a step UP from the Fascist Method as at least all the players will get a chance to be thrown the ball, there is no incentive for bad players to try harder for after all they are going to get the same number of chances as the good ones.   This method also hurts the teams chances of winning the game as there will be an increased number of "wasted throws" by the QB as the bad players will undoubtedly drop more balls thrown to them.

       Let's say he has 3 players A, B and C.   A catches 90% of his throws, B catches 50% and C only 20%. If he throws 10 throws to each one, then at the end only 9 + 5 + 2 will be caught (16 total).  He has "wasted" 30-16 = 14 passes by doing it this way.   So also paying all your workers the same will waste lots of money as some workers will be less capable in earning it back. 

     But if he weights his throws with higher numbers to A such as 20, 8 and 2  (The Capitalist/Brady Method),  he will get 18+4+0=22 total receptions and increase the chances of winning.  This is why companies must reward better results with higher pay as they will insure that their money spent is not wasted and the less capable workers either improve their skills or move on to other companies.