Free Market Trading

Free agency, either combined with a salary cap or not, makes assembling teams in professional sports much like fantasy leagues. In a fantasy league, it's the cap on total roster cost that restricts a franchise from taking all all-stars. Even without a cap, there is some limit to what a team can spend. So, picking up a high-priced talent means giving up someone else.

You could argue that the free agent market is like a disseminated trade market. When a contract is not renewed, or an offer is not matched, the player is offered in trade. The cutters don't know where the cuttee is going. But now the cutters have cap room to go after some other cuttee cast adrift.

There are still some bi-lateral or multi-lateral trades, but these are often directed to moving a player out of the division so he doesn't come back to haunt.