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In 1993, Chicago BearsPresident Michael McCaskey negotiated new contracts for the team's leadingoffensive and defensive players, quarterback Jim Harbaugh and defensive endRichard Dent. Harbaugh was an average quarterback whom fans admired for histenacity, if not his proficiency at throwing the ball. Dent was one of the bestat his position, but many fans complained that Dent frequently gave less than100 percent effort. McCaskey offered Harbaugh a long-term contract that paid $5million for the 1993 season, and nearly $4 million per season after that.McCaskey originally gave Dent a multiyear contract that paid nearly $1.2million per year, but he and Dent subsequently agreed to add a clause to thatcontract enabling Dent to become a free agent and negotiate a new contract withany team at the end of the 1993 season.Based on the above, whichplayer do you think had a better year in 1993, and why do you predict that? Youshould ignore other factors outside of the above information (e.g., thepossibility that one player was injured during the 1993 season and thereforeperformed poorly, etc).

 

 

Microeconomics, Economics

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