[lbo-talk] NYT: U.S. Plans to Curb Executive Pay for Bailout Recipients

John Gulick john_gulick at hotmail.com
Wed Feb 4 11:12:52 PST 2009


SA posted:

If this is what it looks like, it's impressive. (And a total reversal from earlier leaks.) I fear that devils will emerge from details, though.

JG reacts:

Hmmm. Forget about devilish details for a sec. Let's suppose this proposal is as it seems, bathed in broad daylight. On the one hand, yeah, wow, a federally imposed cap on executive compensation, and by the standards of the day an extreme cap too... fricking excellent! On the other hand, the proposal actually reinforces market idolatry. The market is upheld as the first and truest arbiter of just rewards. Those who succeed fabulously through entrepreneurial fair play deserve their multi-millions. Those who ultimately fail because they tried to game the market -- which in its infinite wisdom will in the end expose the fraudulent -- and now must ignominously rely on public subsidy (unlike SUCCESSFUL capitalists, of course), don't deserve theirs.

Not that I or anyone else on this list should expect anything more. But I thought I'd let loose with the above critical theory mini-workout anyhow...

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