I don't think it's any secret that a hard cap system would mean that the Miami's Big 3 would have to be broken up somehow... Basically one of them would have to leave the team.
Any why again would that be bad for the league?
Miami was a HUGE road draw this year. Strong road attendance is a positive for every team in the league, including small market teams.
Also, it's not a coincidence that the NBA Finals ratings were so good and Miami was involved. There is some merit to the idea that Miami as an idea was positive for the league's fortunes. The same is/was true for Boston the last three seasons.
Especially for a small market team like the Jazz?
It could potentially break up smaller market teams as well. I just went for an obvious one. Let's take the San Antonio Spurs.
Manu Ginobili: $12 million (All Star Slot)
Tim Duncan: $17 million (Franchise Player slot)
Tony Parker: $12 million (All Star Slot)
That's $41 million for three players. This is assuming that the Spurs did not exercise the right to pay $15 million each to Gino and Parker because they would have to do so to keep them (this is the functional equivalent of Bird rights for All-Star players in the Simmons system). If they did so then the number jumps to $47 million for three players. It is exceedingly difficult to believe destroying the Spurs' model is good for the league and small market teams.
Do we want to create a cap model that makes the Spurs impossible? Isn't that the growth model that should be encouraged? OKC could have the same problem in a couple years.