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CEO pay is a scapegoat. The real transfer has gone to shareholders. US is basically bisected to two classes now where the below class lives inside a meatgrinde
by peteradio 7y ago
CEO pay is a scapegoat. The real transfer has gone to shareholders. US is basically bisected to two classes now where the below class lives inside a meatgrinder with no realistic way out.
- gridlockd 7y agoShareholders are scapegoats as well. Just as dividing up CEO compensation among workers would be a drop in the bucket, dividing company profits (or just dividends) amongst them often wouldn't amount to a substantial difference. Shareholders only have made paper profits in the S&P 500 because the governments of the world have decided that debt has to be cheap in order to avoid another liquidity crisis, therefore assets must be relatively expensive. This isn't a wealth transfer, it's price inflation. Warren Buffett may have a bigger dollar valuation to his name today, but he couldn't buy any more stock or real estate with it.