tag:blogger.com,1999:blog-8241505550351823820.post38996369031622844..comments2024-02-11T06:57:23.174-05:00Comments on SchansBlog: income tax reformEric Schansberghttp://www.blogger.com/profile/16147388189415035752noreply@blogger.comBlogger5125tag:blogger.com,1999:blog-8241505550351823820.post-35072552859232058582011-10-18T13:33:55.419-04:002011-10-18T13:33:55.419-04:00But that would mean that their being paid their (e...But that would mean that their being paid their (estimated) "value" in the labor market. To your point, the estimates are sometimes far too high (and sometimes, far too low), but that's the nature of speculative market transactions.Eric Schansberghttps://www.blogger.com/profile/16147388189415035752noreply@blogger.comtag:blogger.com,1999:blog-8241505550351823820.post-61302331951393923042011-10-18T13:27:24.490-04:002011-10-18T13:27:24.490-04:00To keep them from being hired at another company.To keep them from being hired at another company.Chrishttps://www.blogger.com/profile/14202263969687232182noreply@blogger.comtag:blogger.com,1999:blog-8241505550351823820.post-73987637739167438262011-10-18T13:06:52.691-04:002011-10-18T13:06:52.691-04:00Why do you think a firm would over-pay its CEO?Why do you think a firm would over-pay its CEO?Eric Schansberghttps://www.blogger.com/profile/16147388189415035752noreply@blogger.comtag:blogger.com,1999:blog-8241505550351823820.post-37252355934017303152011-10-18T11:09:21.219-04:002011-10-18T11:09:21.219-04:00Here's an idea that I would love to get your i...Here's an idea that I would love to get your input on: Raise taxes on the non-founding CEOs of multi-national/large corporations.<br /><br />I am in principle not in favor of raising taxes at any point because of my distrust of the government, but I have to admit that taxes are a necessary part of life and some taxation is necessary.<br /><br />From there we go to how much to tax the populace - what is fair, etc.<br /><br />I am of the opinion that many CEO's who did not have a hand in founding the company do not provide the kind of value that their pay package would suggest they do. Compare CEO compensation with what the lowest paid employee makes and be ready for a shocking ratio.<br /><br />A non-founding CEO can easily ride the wave of what the company is doing and as long as they don't make some huge gaffe, they can collect a huge paycheck at the end of the day for flying around and giving rah-rah speeches (Michael Eisner at Disney comes to mind). <br /><br />What if we took the time to assess these folks' income and how they got their position and if they didn't found the company, their tax rate will be much higher than those that did. (You could extend the 'founder benefit' to the 3rd generation or some sort of thing.)<br /><br />Contrast this with someone that started the company from scratch - these guys should make as much as they can and be able to keep more of their money.<br /><br />This would provide additional controls on CEO pay and also incentivize new businesses to start up.<br /><br />Your thoughts?Chrishttps://www.blogger.com/profile/14202263969687232182noreply@blogger.comtag:blogger.com,1999:blog-8241505550351823820.post-31255019975844571512011-10-16T09:40:54.247-04:002011-10-16T09:40:54.247-04:00I like Cain but I am backing Romney because I thin...I like Cain but I am backing Romney because I think Romney can win and Cain cant. A romney/cain ticket would be a knock out punchecology warriorhttps://www.blogger.com/profile/10945624716190962603noreply@blogger.com