The NBA's free-agency system in combination with the salary cap and the luxury tax is a great equalizer, giving the smaller-market teams a chance to compete on relatively equal footing. It's amazing how the league has been able to come up with impediments to big-market teams taking over the league and obtaining all the best players.

Because the luxury tax makes for a harder salary cap than ever before, the rich can't necessarily get richer. Besides, having the highest payroll is no guarantee of success anyway. Portland has the league's highest payroll, but -- in terms of talent -- the Blazers may only be the fifth- or sixth-best team. Instead of spending the most money, it's more important for teams to make wise selections.

Many handshake deals have been announced already, but a late snag in negotiations between the league and its players' union has put on hold temporarily the expected flurry of finalized trades and free-agent signings. It remains unclear what will happen now, but the league and the players' union were at odds over details of the new salary cap.

The decision on the salary cap will impact what teams are able to do. In the interim, the cap is set at $35.956 million, only slightly above last year's amount. Teams, however, were making plans with a new cap figure of around $42.5 million in mind. If the cap remains at the interim level, several teams could be forced unwillingly to pay the luxury tax, which goes into effect for the first time this year. Players waiting for satisfactory offers and places to play will be disappointed, either not getting the contract they desired or not getting selected at all.

The luxury tax will greatly influence the free-agent market. The owners are concerned about how players' signings will affect their ability to stay at or under the salary cap so they can avoid paying the luxury tax. The only two owners who seem to have little consideration for the cost of the luxury tax are Portland's Paul Allen and Dallas' Mark Cuban. They just want to get the best players and are strong candidates to acquire players they perceive will help their teams.

Here's how I would categorize some of the free-agent activity so far (the "signings" referred to below are expected, but not yet official):

Best signing
Antonio Davis, Toronto: The Raptors really bolstered their stock by re-signing Davis. The Davis deal has a positive domino effect. It helps them both immediately and later, because Vince Carter will be more likely to remain in Toronto. The Raptors also acquired Jerome Williams, a high-energy player. They traded Charles Oakley and got Brian Skinner, a younger player who will be a good contributor off the bench. They apparently will re-sign Alvin Williams. The Raptors were one bounce of the ball away from the NBA Finals and should be close again next season.

Philadelphia had two key re-signings, Dikembe Mutombo and Aaron McKie. The 76ers needed to keep their core players together and should now again be the favorites in the Eastern Conference. Everyone knows about Mutombo's impact as a defensive force inside, but McKie has lifted his game and become a very valuable player. He can start or come off the bench and can play the one, two or three spots, although he is best at the two. He's also a good defender and a clutch shot maker.

Most questionable signing
Eddie Robinson, Chicago: I don't know what Robinson will do for the Bulls. While he has talent, Robinson was an erratic player in Charlotte who never averaged more than 18 minutes a game in his first two seasons. A five-year, $30 million contract is a lot for a player who has so far been an inconsistent reserve player.

Todd MacCulloch's offer sheet with New Jersey (six years, $33.75) may seem a bit questionable, but he would upgrade the Nets at the center position. He is a cut above Evan Eschmeyer. If MacCulloch played significant minutes, he would average 10 points and 10 rebounds a game, and could score more with Jason Kidd on the team. MacCulloch is not a make-or-break player for the Sixers, though. I wouldn't be surprised to see the Sixers allow MacCulloch to go to New Jersey so they don't go over the luxury tax limit. His loss should have little effect on the Sixers. Rookies Samuel Dalembert and Alvin Jones will prove to be just as effective.

A signing to watch
Derek Anderson, San Antonio: The Spurs finished the regular season with the league's best record, but it is very important for the Spurs to re-sign Anderson -- and also reserve Malik Rose -- if they hope to remain a contending team. The Spurs still have Tim Duncan, David Robinson (who decided to stay), Antonio Daniels and Terry Porter. It appears Avery Johnson may go to Denver, but the Spurs are still in good shape in the backcourt with Daniels, Porter and rookie Tony Parker from France. Bruce Bowen is reportedly going to San Antonio with a three-year deal. He is a significant acquistion because he can defend off guards and small forwards, and sometimes point guards. He may give them insurance in case Anderson goes elsewhere.

A change for the better
Patrick Ewing, Orlando: The Magic had strong hopes of signing Antonio Davis and were a bit shocked not to get him. But Ewing will help. I don't think of him as a starting center on a contending team any longer, but he could be effective in combination with another center, like rookie Brendan Haywood. I like Haywood, who could be starting before the season is over, with Ewing backing him up. It remains to be seen if Orlando can be a contender. Much will depend on Grant Hill's comeback, his chemistry with Tracy McGrady, the contributions of Ewing, and Haywood's development. And what happens to Mike Miller and his minutes? He could be valuable to the team as a sixth man.

Key losses
Horace Grant (potentially) and Tyronn Lue, L.A. Lakers: Not that Grant won the championship for the Lakers, but he plays an important role. The Lakers could be hurting without him. Although there are reports he could sign with Orlando, the market for Grant may be drying up for him. Robert Horry has elected to stay, but if Grant goes elsewhere, the Lakers are back to where they were two years ago. They had hoped Mark Madsen would help, but he will miss the first part of the season with a wrist injury. They also have Stanislav Medvedenko, a good-shooting 6-foot-10 Lithuanian. He played only seven games last year, but the coaches really like him. There is no question that Lue, who will go to Washington, helped the Lakers in the NBA Finals. Although Phil Jackson doesn't seem to like small guards, Lue is a tough, team-oriented player.