Sunday, March 22, 2009

A Step Too Far!

According to the International Herald Tribune the Obama administration is going to seek an increase in oversight of executive pay.

Whoa! This is taking the current populist stance way too far. I can understand strict oversight of the companies who have accepted bailout money willingly, but for those whom those monies were forced on or those not involved at all, this is intrusion we will come to regret.

I think what's happening here is the general public is seeing the multi million dollar figures without knowledge of how large corporations conduct their business nor how executive level employees across the board are compensated. The administration is fast approaching European socialism where governments intrude in all things corporate.

I've read hundreds of blogs parroting the outrage of the dollar amounts of the bonuses while the populist are losing their jobs and homes. How many companies other than AIG are handing out similar bonuses? A lot. Is the public equally outraged at this? Are they even aware of it? Has it finally hit home that both Geitner and the Fed were aware of the AIG bonus plan before and complicit with it before the money was distributed? Has it come across that Senator Dodd, who denied putting the clause in the stimulus package allowing the bonus to be paid, did in fact put it in? That he lied? And that Geitner did too by not coming forward with this information?

Let's see where the outrage is for a few other things like the multi million dollar contracts athletes get, not to mention signing bonuses for untried players. How about the cost to tax payers when they're held hostage by team owners who want a new stadium or arena and won't put up the money themselves but threaten to pull the team? Where's the outrage from the people who will never make that kind of money nor get those bonuses nor even attend a game. A game! I won't even get into the money Hollywood puts out for trash! Where's the outrage? All the while this is happening people are still losing their jobs and their homes.

At the moment everything bailout is in a state of chaos. It reminds me a bit of the French Revolution when Marie Antoinette was saying, "Let them eat cake" as the people were starving. The people rebelled and aristocratic heads rolled. A parallel exists here by looking at how the web that has been spun is beginning to strangle those who wove it. That's why I suggested in yesterday's post it's time for Obama to scale back his own big picture agenda and get a handle on what in the grand scheme of things should be a relatively minor blip. Or does he really want this "revolution" to continue fomenting?

Obama should take note of Georges Danton, a revolutionist himself who fell out with Robespierre. He's noted for saying, as he went to meet Madam Guillotine, "La revolution devore ses enfantes." The revolution eats it's own children. What did he do that was so egregious to the more extreme of his own kind? He was not a fanatic and was capable of moderation and genuine reason.

This is how I view Obama. However, if he doesn't start leading, the more extreme segments of his own party as well as we, his people may begin a revolution he'll not be able to contain. Maybe now is the time for some heads to roll!


Word Tosser said...

I like to see them take a breather.. they are spending money like a drunken sailor.

I told my husband, how can this be a recession/depression, they are still spending millions for sports figures, actors, and music contracts. Outrage, oh, yes.. have for years over that.. Millions a year for those, when a police officer, firemen, who lives are on the line... get what?

But then life is not fair. Never will be. Took me about 40 years to figure that out.

Rinkly Rimes said...

The situation reminds me of the serfs and the lords! It's forever been so, but let's hope that globalisation and modern communications can put an end to it!

Anonymous said...

This is the quintessential wag the dog scenario. While furor is focused on AIG (and they surely anger me) other "situations" are flying under the collective radar. One can't help but wonder what is going on that "they" don't want in the public purview.

I have never understood the cult of celebrity. But those people make big money for the entertainment world and are vulgarly compensated.

As for professional atheletes, they, save for the good fortune of superior hand/eye co-ordination, probably couldn't get a job flipping burgers at Mackydees. Deep sigh! CU

Anonymous said...

"Oversight of executive pay" is how this mess started. During the Clinton administration, a stop effort was instigated on excessive bonuses. To get around that, "retention bonus" came into play. Hence the situation at AIG and who knows where else. Dodd made sure that the bailouts wouldn't interfere with this bonus. Oh what a tangled web we weave...CU