The NFL passed baseball almost 40 years ago, and is now the undisputed heavy weight champion of American sports, and is the largest grossing league in the world right now. Whether that's because the game itself is just more popular or it's revenue sharing model is far superior in allowing smaller markets to create dynasties is up for debate. The one thing you can say about football is even if the franchise is dreadful now and has been for 40+ years, smart drafting and a couple of good hires can put that team on top relatively quickly. A fan of the Kansas City Royals while having more hope than a fan of Fulham(English Premier League) probably doesn't have that same level of optimism given baseball's current structure.
Yes, baseball is actually held back from evolving and expanding due to overspending by ball clubs such as the New York Yankees, because the other clubs do not have any incentive to keep up. They know that they cannot compete with the Yankees. This leads to fewer fans of baseball overall.
I definitely think that the overspending of such ball clubs like the New York Yankees holds baseball back and prevents it from being able to evolve. I think that the current policy in the MLB, gives teams like the Yankees an unfiar advantage over some of the other teams in the league.
I do not believe baseball is held back from evolving and expanding due to the overspending by ball clubs such as the New York Yankees. Baseball in America was significantly impacted by their strike which happened long ago, but has continued to have an impact. This is what holds them back and it will continue to hold them back.
People need a pinaccle to want to achieve something, be it in business, in life, in personal relationships, or even in their pasttimes, like sport. The Yankees, yes, have won so much because of the money they have at their disposal. But at the same time, they have created a dynasty, an important story.
Baseball is not actually held back from evolving and expanding due to overspending by ball clubs such as the New York Yankees. I think that they continue to put the money in the places that they deem necessary and eventually they will evolve and expand on their own. I do not think overspending in other areas is the issue.