Posts Tagged ‘fed’

Thanks God For the Fact that Some Politicians Have No Filter

April 1, 2010

I am always struck by how few politicians have a filter between their brains and their mouths.  Usually this thought pops into my mind because a politician has stuck his foot in house.  Think Joe Biden.

(more…)

Advertisements

Limiting Bankers’ Pay Completely Misses the Point

October 27, 2009

Before I turn to health care later this week, I wanted to return to a topic that I have written about before, namely compensation on Wall Street. Over the past few days, much has been written about Ken Feinberg’s decisions on the pay packages of the 25 highest paid executives of the seven companies who have received, and still retain, the most TARP funds (e.g., Citigroup, Bank of America and A.I.G.). There has been much discussion about the optimal way to pay Wall Street firm employees. What is the optimal ratio of guaranteed cash to stock? How long should the stock take to vest? Should the companies be required to put claw back provisions into their employment agreements with their bankers and traders so that if the employee’s investments go bad, the company can get their compensation they paid out back? But all of this misses the point in my mind. (more…)