Wednesday, February 04, 2009

Tarped and Capped   [Mark Steyn]

On this executive pay business, Bruce Bartlett may be right - that execs will not wish to sign their companies on to the government dole if it means a pay cut. Well, if that's what it takes, so be it. He's also right that they'll figure out some way around it. But the more basic question is why all these failed execs are being kept on in the first place.

Meanwhile, a reader writes:

A company such as Ford, which has so far opted to NOT go on the take, would presumably not be forced to limit its top executives’ pay and bonuses, and so over time, it would seem, would attract top executives who want the better pay, and these motivators would in turn draw the better engineers, etc., who are drawn to the best leaders. This would seem to be an excellent opportunity for the free market to demonstrate once and for all why the normal market forces, and allowing sub-par companies to die properly when their time is at hand, will temper any crisis, and lead, through economic evolution, to healthier business times.

02/04 05:40 PMShare