I agree, but my one area of concern is this: you have teams like the NY and LA teams shelling out seemingly endless amounts of money for players. Then you have the team owners in smaller markets who can’t compete with that even if they wanted to. The high priced players aren’t going to go to the mid/lo-market teams even if they get offered comparable money. So the players they’re able to put on the team are either very young or very flawed (or both) and it takes a lot of things to go right for those types of teams to turn into competitors.
So what is the incentive for owners of those teams to go out and spend extra money to get mid-level free agents that might actually come to their team? Your team is still going to be considerably worse on paper than the top spending teams and you’re still highly unlikely to make the playoffs with any consistency. Are fans going to pack the stadium to watch league average players any more than they would a team full of scrubs? The only way to compete is to build from within and out-scout/draft/coach the big spenders. Something that a couple orgs like TB and CLE are very good at and the Tigers have caught up now. Even then, things can go south in a hurry with a couple key injuries.
So if you’re the owner of a bad team- your options are:
1.) Spend truckloads of money—and it’ll probably take even more to bring Star players there than it would elsewhere. If that player(s) doesn’t perform or suffers injury, you’re right back where you started but with way less capital.
2.) Heavily invest in your scouting/minor league infrastructure/coaching staffs/international prospects
3.) Don’t build up the team- trade assets as you develop them, and profit highly.
That said, people want to clown on the bad teams, but the only owners who it seems are actively not interested in building a winner are the As and the Pirates. Every other franchise has had big signings recently or have had legitimate looking rebuilds recently with some of them just going sideways poorly. So there’s no reason for a major reform just because a couple teams in a 30 team league aren’t trying.
So long story short, I agree with you that salary caps/money spent isn’t as big of an issue as people want it to be. It would be nice if they could do something like set the maximum a player can receive either total or annual as a contract but then those deals can be loaded with uncapped high performance bonuses. That way for every Aaron Judge or Ohtani contract that costs a lot but produces a lot, you could lessen the impact on owners for the Rendon or Bryant type situations.