Sunday, November 14, 2010

A raise is a raise is a raise

If you want to know one of the reasons why the economy is mired in the sinkhole, check out this WSJ story of bonuses and raises for the highest paid CEOs in America.

Yes, getting by on $86 million a year is harder these days. Can you believe the price of cable TV? Even the cost of tires are steep.

Well, these CEOs were rewarded for the rise in their companies' stock price.

Their stock went up because revenues increased due to layoffs and outsourcing not because demand increased so dramatically for their products. In fact, demand is down across the board. That is the primary reason why the Great Recession goes on and on.

And, their were tax incentives, written by their lobbyists, that rewarded them for shipping jobs to Mexico, India or China. In essence, taxpayers subsidized the elimination of their jobs.

These CEOs then turned around and bankrolled the ascendancy of the teabaggers and the restoration of the GOP in the House. The speaker in waiting, John Boehner, is known as the main House member who is always for sale, to the highest bidder.

With the emphasis now on reducing the federal deficit, we can be assured that more jobs will be lost and that CEOs will get richer beyond the beyond.

No comments:

Post a Comment