Racial discrimination in professional sports has always been a problem and professional sports committees are doing their best to eliminate racial discrimination within and outside outside the field. Major League Baseball is one of the professional sports leagues that has a long history of racial discrimination. In this regard, one may wonder if racial discrimination affects the salaries of MLB players. If so, how does racial discrimination affect salary and what other factors related to racial discrimination can affect salary? This issue will be discussed and examined throughout the report. First of all, Major League Baseball is one of the four major leagues in the United States, which explains why MLB has a significant market share in the American sports market. Although the precise percentage share could not be found, statistical facts, such as total revenue, television exposure and audience attendance, show that MLB is ranked second among the four major leagues. Besides the size of the league, there are many players from all over the world in the MLB trying to make it as a famous and rich player. These days, most teams focus on recruiting prospects rather than signing free agents. Unlike free agents, prospects can be brought in more cheaply if teams split the prospect ranks. For example, a higher-ranked prospect might sign a contract for a reasonable deposit with signing bonus, while another lower-ranked prospect might sign a contract for a lower amount. This is where racial discrimination can impact player salaries, as many prospects are recruited from countries in South America and Asia. 1972Reid, Clifford E., “Racial Salary Discrimination in Major League Baseball: Some recentEvidence”, Industrial Relations Section, Princeton University, 1983, May. Schuler, R., Welch, DE and Dowling, PJ, “International Dimensions of Human Resource Management.” New York: Wadsworth Publishing, 1999 Tainsky, Scott and Jason A. Winfree. “Discrimination and Demand: The Effect of International Players on Participation in Major League Baseball.” Social Science Quarterly (Wiley-Blackwell) 91.1 (2010): 117-128. Premier Business Source. Internet. March 4, 2014 Van Scyoc, LJ and NJ Burnett. “How Times Have Changed: Racial Discrimination in the Sports Memorabilia (Baseball Card) Market.” Applied Economics Letters 20.7-9 (2013): 875-878. ÉconLit. Internet. March 4. 2014.