Republican congressmen in a rush to proclaim their outrage over the AIG bonuses have somehow had a change of heart from several weeks back when they opposed govt. restrictions on private company pay.

I mean, let us not forget, the private sector is animated by an infallible efficiency seeking mechanism, so how would it be possible for executives to be overpaid? The steady growth of executive pay relative to line worker pay might suggest that different rules are at play with this segment of the free market than with airline ticket prices.

It goes without saying that the funds that flow like a river past the operatives at your average credit card division of a major bank are completely different than the funds that flow through the IRS or the US Treasury via China. Isn’t that right? The wealth of the nation, if offered up through investments, savings, or rock solid 401Ks, is fair game for execs to divert generously into their pay portfolio but public funds inspire outrage if used likewise?

It is perfectly acceptable, of course, to charge 20 to 30% interest on credit card debt because consumers have the option of moving to another bank that offers a lower rate. And the executives running such schemes simply must be paid 7 figure salaries or else they’ll take their talent elsewhere. This unerring process explains why it’s virtually unheard of for a consumer to be hopelessly mired in credit card debt.

In fact, the AIG bonuses that have outraged the nation are routine in the private sector. The deregulation and annual tax cuts during the Bush administration were the glory years for elite in America. Greedy misappropriation of large sums of money in either the private or the public sector draws wealth from the body of America. And many aspects of life are a zero sum game.

Of course private management has many advantages over public management in most matters and that’s why a mostly capitalist country like the US does much better at keeping its citizens healthy and its stores filled with merchandise than do communist countries like the former USSR.

But that doesn’t mean that rapacious greed among the top tiers in private industry is ultimately beneficial to the nation, particularly now, as we are becoming more familiar with the concept of ‘privatizing gain, socializing risk.’ Govt. oversight and regulation of the financial industry along with progressive income tax rates is not a descent into state socialism. The hyperbole from the right on this topic is breathless. Overnight, Joe the Plumber becomes a sought after statesman because of his saying that Obama will lead us to socialism. Because of returning to the Clinton era tax rates.

The anxiety, fear, and loathing around communism is just getting old. Turn over a new leaf, ya’all.

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1986 300SDL, 362K
1984 300D, 138K

I've never sided with the idea that Executive pay should be so outlandish...AAMOF, I find it repulsive...some of those clowns should be stripped of their pay, kicked out of their gold-plated offices and have to pay back every square of TP they used in their private washrooms.

You run a company into the ground, you're the foundation of that company coming back from nothing...you don't get a free ride out of "Crashville" just because you survived the landing...you're either in the trenches bringing the place back to life or your paycheck(s) for the past year is/are funding the dinners of those you helped put out of work.

As for AIG...anyone getting a bonus for that failed piece of tripe is admitting to fraud and should be on the end of an F.B.I. and F.E.C. probe...inserted properly so they can't squirm off of it...

Sorry cmac2012...I don't see this as a Repo/Demo thing...EVERYONE is equally guilty AFAIC...period.

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M. G. Burg
'10 - Dakota SXT - Daily Ride / ≈ 172.5K
.'76 - 450SLC - 107.024.12 / < .89.20 K
..'77 - 280E - 123.033.12 / > 128.20 K
...'67 - El Camino - 283ci / > 207.00 K
....'75 - Yamaha - 650XS / < 21.00 K
.....'87 - G20 Sportvan / > 206.00 K
......'85 - 4WINNS 160 I.O. / 140hp
.......'74 - Honda CT70 / Real 125
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“I didn’t really say everything I said.”
. . . . . . . . . . . . . . . . . . ~ Yogi Berra ~

Republican politicians are like teenaged girls at a dance, wondering why the whores get all the boys' attention. So they tart themselves up like whores and talk like whores. It wasn't long before they were indistinguishable from the all of the other whores.

If we're going to limit pay on the Executives, then we need to limit pay on the NBA, NFL, NHL, etc. They also get paid way too much. Then, we need to limit the amount that small business owners make too, because they're getting rich on the backs of the poor. What we need, is a bill that states everyone should make more than $50.00 an hour, and less than $700,000 a year. That way, we're all equal and there's plenty of money to go around for all.

Except for me, of course, because I'll be closing my business (like everyone else) and moving to a country that has more freedom than this new version of America. Oh yeah, when I close my business, I'll not only put 10 people out of work, but I won't be paying taxes anymore, so the govt will have to do more with less - just like you. And the companies that depend on me to be around, they'll fold too and fire their employees.

Ironically, the heads of these companies and the politicians have a lot in common - they're not ever held DIRECTLY responsible for their actions; they're both there to take the money now, today, and not worry too much about tomorrow because that will be someone else's problem in the future. Drive the company into massive debt, and you still got paid; drive a whole country into a massive debt, and the politicians still get paid. Short-term thinkers in both cases, and in both cases the philosphy just kills what was created.

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- Brian


1989 500SEL Euro
1966 250SE Cabriolet
1958 BMW Isetta 600

They depend on the short memory of the public and are usually not disappointed. Just weeks ago going on about how improper and unwise it would be to limit pay in the private sector, and this regarding bailed out companies.

Now it's outrage at O and Geithner for having had the incompetence to not notice this among the reams of other items occupying their attention.

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1986 300SDL, 362K
1984 300D, 138K

How much longer will it take until people realize that 'Bailout' means nothing else but 'Executive Welfare'.

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It is unwise to limit pay in the private sector, who the hell are you to determine what is or is not sufficient pay in the private. The problem is AIG is no longer the private sector, the government now owns something like 60% of the the company. AIG is now in the public sector and I don't want tax dollars going to pay those idiots. On the other hand...Oracle just announce that they will pay a dividend. Just so happens the CEO Larry Ellison is the largest stock holder, he stands to make something on the order of 230 million over the next few years because of those dividends. Good for him, his company managed to beat expectations and earn a healthy profit. I guess I just don't have as much wallet envy as you do.

GOD D@MN right I'm pissed these two morons, along with Dodd and his minions could'nt see what they were doing. Seeing what there doing is what we pay them for, they failed at their job.

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I'm sick of .sig files

We don't own those teams.




I was watching that liberal biased media outlet CNN earlier today blasting away at Dodd, Geithner, and Obama. They were trying to track down who inserted the loophole thing about contract bonuses. There was a bunch of not me's before the treasury dept said they told Dodd they might get sued over it, so his staff put it in the bill. Throughout the bashing, they mentioned that the subject of these bonuses came up in Nov. I guess belated outrage is better than no outrage at all.

Also interesting was one guy who mentioned how these bonuses being guaranteed a year in advance were basically typical sneakery by the board, pulling a fast one on shareholders.

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1984 300TD

Wallet envy. Oh yeah.

Imagine you lived in a community with limited water. Some fellow seemed to have talent for managing the small dam and reservoir that was their only source.

So the guy seems to be doing well enough until they hit a dry spell and people notice that his perch beside the flowing waters had sorta gone to his head and he had a full swimming pool and huge green lawn while everyone else was rationing.

Not unlike those in the financial sector. For various reasons, they sit beside the flow of the nation's money and most of them become persuaded that large amounts of that money is actually theirs. And the pay they apportion to themselves reflects that.

I was referring primarily to pay among bailed out companies, and that's what Repos were objecting about until this whole thing blew up. But now it's all Geithner and Dodd what done it.

But I'm sorry, I don't agree that Sandy Weil is/was entitled to $120 million A YEAR on the basis of charging loan shark rates to all sorts of naive, foolish Americans.

That's where progressive income tax rates come it. Sort of an insurance against excessively high pay and a means of limiting the onerous effects of borderline theft.

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1986 300SDL, 362K
1984 300D, 138K

Which is shocking, of course, because of those idiots have so much experience at running businesses and corporations. We hired a guy to run the country who has less experience than I do, and then he hired bigger idiots than himself to help him. I'm pissed too, btw; I can't believe the incompetency we face at the upper levels. He sold the country on his idea of change, but what he didn't bother to be honest about was how his change was going to be for the worst.

I'm getting damn close to marching in the streets.

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- Brian


1989 500SEL Euro
1966 250SE Cabriolet
1958 BMW Isetta 600

Premature. Wait a while.

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1986 300SDL, 362K
1984 300D, 138K

"But as long as the nation is obsessed with historic milestones, is no one going to remark on what a great country it is where a mentally retarded woman can become speaker of the house?" -- jz

You're making me question your own sanity.

Now that Congress has bought the freaking companies, I want my proportion of those companies, bought with my tax dollars, in shares of those companies.

Why not?

It will come back as dollars to the treasury, but unfortunately there will be no tax relief to match.