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Unformatted text preview: worried, however, as to the government’s lack of expertise on setting compensation restrictions. Also, in companies like CitiGroup, that suffered losses, penalizing the bonuses of the executives may well cause them to leave for better paying jobs. The ailing companies may well need the bigger bonuses, and this is not being addressed by Feinberg and his ilk. The broad issue, it seems, is being overlooked. Restrictions on executive compensation will not fix the overarching problems within the financial sector, which have a basis in the need for excessive risk taking for huge profits. The government is unable or unwilling to push for a complete restructuring of the economic system, and instead is implementing restrictions on individuals’ income, something that may do more harm than good. Two things are clear on the issue: that something has to be done, and that no one knows yet what that something is....
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This note was uploaded on 04/04/2011 for the course HISTORY 1101 taught by Professor Staff during the Fall '10 term at Georgia State.
- Fall '10