Not only are we richly rewarding those who wrecked our economy, but also, we have to put up with hundreds of fabrications about how the big banks got us here. Here is my biggest, fattest lies list for 2009.
WANTED: Bright, dedicated corporate professionals for key posts at massive insurance entity now essentially owned by the Federal government. Job would start immediately, as employer is sick of current crop of whiny, entitled executives.
Feinberg is not cutting total compensation, he's changing the composition of pay packages -- less cash, more stock with longer vesting periods. In other words, the top guys will have more skin in the game.
Five fatal flaws in the financial sector's current structure have created a monster that drains the real economy, promotes fraud and corruption, threatens democracy, and causes recurrent, intensifying crises.
The Obama Administration recently announced pay limits for bailed-out CEOs. But unless the IRS changes its policies, taxpayers will continue to subsidize unreasonable compensation paid by publicly held corporations.
It's easy to rail at Congress and the Fed and the President and all the bozos past, present and future who don't foresee the bubbles or simply drink too much of them. But what would you do? I'm seriously asking.
There's a good deal of jolliness on Wall Street this holiday season, thanks to the billions of dollars in bonuses that will be stuffed into the stockings of your favorite bankers. It's safe to assume the final tally will be very big.
Wall Street badly needs fixing. Fortunately we have the tool to do the job. It's called a financial transactions tax (FTT) - a modest tax on trades of stock, futures, options and other financial instruments.
A recent academic study by Fahlenbrach & Stulz actually shows that on average the CEO's in the financial crisis did not take big gains while shareholders suffered losses. The median loss for a CEO was $5.1million.