The government is fiddling with executive compensation, which is bad, but perhaps understandable and defensible considering the various institutions involved were saved from death by the TARP funds. But on what principled basis are Goldman Sachs, Morgan Stanley, and Citi excluded from the restrictions? And why would concern for excessive risk-taking demand lower base salaries as opposed to reduced or delayed bonuses. This is the biggest problem with government involvement in the economy of all kinds: it reduces our sense of what spheres should be beyond government control, it is driven by ignorant populism rather than concern for “systemic risk,” and it allows the government to pick winners and losers on the basis of factors like influence, favoritism, and political savvy.
This would be bad enough, but the Obama administration bullying its media critics, recently trying (unsucesfully) to exclude Fox News from a press conference and generally to delegitimize Obama’s most prominent critic. And, in recent months, Obama has notably singled out insurance companies, the Chamber of Commerce, and a lone Cambridge police officer for public ridicule, showing little sense of magnanimity of responsibility that should come with an office of such power.
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“it is driven by ignorant populism”
Ignorant populism fueled by an entirely corrupt and complacent media. For all the harping on executive pay, why don’t we hear more about the trillions of borrowed federal dollars that have been funneled into these well-connected companies? That part seems to have been mostly swept under the rug.
Not to mention things like the government’s role in inflating the bubble, Frank Raines, “Friends of Angelo”, etc…
Why are proven thieves, tax cheaters, and bribe-takers in government treated with kid gloves while private citizens working for private companies are demonized? Why do Dodd, Waters, Rangel, Geithner et al still have jobs?!?!? Have we just accepted, “crooks will be crooks”?
It’s all three card monte shit. We’re supposed to get pissed about a few million in salary when billions of public dollars are being manipulated to make 1-5% by these guys. Yeah, they’re making a lot, by why do they have 30:1 leverage with our tax dollars. That’s the scandal.