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yes dumping happens but
Your example is a little weak. Trading one pitcher isn't really a fire sale. What happens in PB is usually more along the lines of what happened to the Marlins after they won the world series or what has happend to the Expos many times over the years. When a team does decide to completely rebuild, that usually includes a new manager and/or GM. It's not often that a team's existing GM can get away with gutting a team and starting from scratch.. it's normally a brand new GM that has that luxury. There are some very talented GM's in MLB who, without the benefit of the best market, seem to be able to move out the high priced vets, incorperate young talent to replace them and still remain contenders. That is the kind of management I would hope to encourage with this proposal on a test basis in one league with managers who are willing to pay to try it.