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The Skyrocketing Value Of Draft Picks

"In a league that typically scoffs at the value of these picks, which have usually been available for $3 million in cash, it’s fair to wonder what these teams are thinking. However, two things, both the result of the lockout, are different in 2012: the heightened luxury tax penalties in the new CBA have increased the value of first-rounders’ cost-controlled salaries while the uncertainty surrounding the 2011-12 season helped keep many of college basketball’s top players in school an extra season. History tells us that the odds are against late first-round picks ever becoming effective NBA contributors, but sometimes the most important part of gathering data is knowing when to ignore it. By their actions at the trade deadline, NBA teams seem to think 2012 first-round picks are three times as valuable as in previous years, and if you look at Draft Express’ current mock draft, that seems about right." The article goes on to talk about how hefty investments by the Cavaliers, Rockets and Warriors made at the deadline may pay off down the road, as these teams acquired big salaries (Luke Walton, Richard Jefferson, Derek Fisher) in order to get an extra first-rounder. It makes the Portland trade of Gerald Wallace (receiving a pretty much guaranteed lottery pick without taking on any extra salary) look that much better. via Jonathan Tjarks at RealGM

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