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Kudos for Obama

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by

mwkruse
in

Yahoo! News: Obama caps executive pay tied to bailout money

WASHINGTON – President Barack Obama on Wednesday imposed $500,000 caps on senior executive pay for the most distressed financial institutions receiving federal bailout money, saying Americans are upset with "executives being rewarded for failure."

I don't favor government regulation of executive pay. But I also don't favor corporate executives who are capitalists when things are going good and socialists (i.e., the government should save them from their ineptitude) when things are going bad. There needs to be some pain involved in getting government help, if for no other reason than to make businesses think twice about counting on it in the future. Should the Dems begin to legislate limits on executive pay for other corporations, you will begin to hear me sing a different tune.  🙂

Comments

6 responses to “Kudos for Obama”

  1. vanskaamper Avatar
    vanskaamper

    I’m enthusiastic about this on only one level: it shows the private sector what happens when you do a deal with the devil. Anything the government funds, it presumes to then regulate. Competence to do so is simply assumed.
    I am sickened by Obama’s pontificating on the topic, but, if it serves as cautionary lesson for those otherwise all too eager to seek federal bailout money, then so be it.

    Reply
  2. Michael W. Kruse Avatar
    Michael W. Kruse

    “I am sickened by Obama’s pontificating on the topic…”
    I hear ya.

    Reply
  3. ZZMike Avatar
    ZZMike

    From what I read, the cap applies to banks being bailed out by government (= our) money.
    I note that he’s quite silent on sports figures salaries (Ben Roethlisberger, $27.7 million; Alex Rodriguez, $25 million/year for 10 years). If the fans don’t mind subsidizing these guys with their ticket purchases, then everybody’s happy).

    Reply
  4. Michael W. Kruse Avatar
    Michael W. Kruse

    “…he’s quite silent on sports figures…”
    Also people like Bono or Tom Hanks. But remember, this is as it should be. As we all know, people who succeed in business are intrinsically evil. 🙂

    Reply
  5. vanskaamper Avatar
    vanskaamper

    As we all know, people who succeed in business are intrinsically evil. :-)***
    ***Unless they’re donating and fundraising for your re-election campaign.

    Reply
  6. Andy Avatar
    Andy

    Look, I’m a Pittsburgher. I love Ben. But the man IS subsidized by taxpayer money. Heinz Field, and hence the Steelers, were the beneficiaries of a couple hundred million dollars worth of assorted tax-subsidies. But then, what NFL team isn’t?

    Reply

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