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Let's compare:

C - Jorge Posada vs. Jason Varitek
EDGE - Red Sox

1B - Jason Giambi vs. Kevin Youkillis
EDGE: Yankees (offense), Red Sox (defense)
OVERALL: Yankees

2B - Robinson Cano vs. Mark Loretta
EDGE: Draw (Possible slight edge to Yankees because Cano is young and Loretta is old and coming off injury)

SS - Derek Jeter vs. Alex Gonzalaz
EDGE: Yankees (offensively and defensively)

3B - Alex Rodriguez vs. Mike Lowell
EDGE: Yankees (offensively and defensively)

LF - Hideki Matsui vs. Manny Ramirez
EDGE: Red Sox (offensively, Matsui no slouch though), Yankees (defensively)
OVERALL: Red Sox

CF - Johnny Damon vs. Coco Crisp
EDGE: Yankees (offensive edge, equal D)

RF - Gary Sheffield vs. Trot Nixon/Pena
EDGE: Yankees (offensive edge, equal D)

DH - Bernie Williams vs. David Ortiz
EDGE - Red Sox

ROTATIONS:
Randy Johnson, Mike Mussina, Shawn Chacon, Chien Ming Wang, Carl Pavano

vs.

Curt Schilling, Josh Beckett, Matt Clement, Tim Wakefield, David Wells

EDGE: EVEN. Every starter in both rotations has question marks. I'd argue that the Yankee staff is better, but for arguements sake lets say they're equal.

BULLPEN:
Aaron Small, Jaret Wright, Scott Proctor, Tanyon Sturtze, Ron Villone, Mike Myers, Octavio Dotel, Kyle Farnsworth

vs.

Mike Timlin, Dave Riske, Rudy Seanez, Julian Tavarez, Jon Papelborn, Lenny DiNardo

EDGE: EVEN.

CLOSERS
Mariano Rivera vs. Keith Foulke
EDGE: Yankees, overwhelminingly

BENCH
Bobby Crosby, Andy Philips, Miguel Cairo, Kelly Stinett


vs.

Alex Cora, Adam Stern, JT Snow, Josh Bard

EDGE: Yankees.

So, in review, the Yankees are better offensively, defensively, have a better bench and a better closer than the Red Sox and the Red Sox are the favorite?