The use of salary caps, limiting
how much teams can pay
their players, is a relatively new
development. Basketball was the first
sport to cap salaries, in the 1984-85
season, and a similar restriction went
into effect in football in 1994. In other
sports, salary caps were contested in
both the 1994-95 baseball strike and
the 1994-95 lockout in hockey. In
these sports, unions have been able to
fend off acceptance of a general cap,
although “luxury taxes” were put into
effect on baseball team payrolls exceeding
specified amounts, and hockey
now has a salary cap for rookies