5 ms·

Author raises a lot of good points but fails to mention CEO pay gap that was introduced in Clinton era. That started all of this madness with stock compensation

• pnutjam 6y ago
  Introduced on accident, then cherished during the Bush years and no changes could be made during the Obama years due to the GOP's lock on the Senate.
  • mixmastamyk 6y ago
    What are the "changes that could be made?"
    • pnutjam 6y ago
      Fix the law, just like they could fix the ACA if the GOP would pass bills.
    • clairity 6y ago
      > "...shares are constantly being diluted by stock options granted to corporate executives, which were given a tax preference in 1981." 1. remove these tax preferences. if we wanted to retain some of the incentive for startups, we could phase out the tax benefits based on the valuation of the company at time of grant. so a grant of stock options for a $1MM startup might grant you a tax preference, but not for a (mid-sized) $100MM company. (however, phase-outs need to be continuous functions to remove the gaming potential, and politicians hate that.) 2. remove the tax advantage of debt 3. remove carry-forward/-back losses 4. remove the separate capital gains/carried interest rates and all related exemptions (like 409's) 5. remove accelerated depreciation/amortization and more. in short, remove tax loopholes, thereby dramatically simplifying the tax code.
      • tandr 6y ago
        Do you know if there were there proposed bills to have these items addressed?
        • clairity 6y ago
          my memory is dim, but my impression is 'not really'. outside of a vague sense of token efforts that died quietly, both major parties seemingly only pushed through giveaways to various lobbies in exchange for political donation/support. it's pretty easy to slip in such small, innocuous-seeming riders without much pushback because it takes more than cursory economic knowledge and real interest to work out the first-order effect, nevermind the higher order ones, or even pick them out of huge, drab appropriations bills in the first place. there doesn't seem to be a valued constituency on the other side to push through counteracting legislation however.
          • tandr 6y ago
            thank you
  • refurb 6y ago
    GOP’s lock on the senate during the Obama administration? https://en.m.wikipedia.org/wiki/111th_United_States_Congress https://en.m.wikipedia.org/wiki/111th_United_States_Congress
    • rstupek 6y ago
      let's not bring up facts that might alter their worldview
    • sharkmerry 6y ago
      However, the majority was only filibuster proof for a period of 72 working days while the Senate was actually in session. and yet January 29, 2009: Lilly Ledbetter Fair Pay Act of 2009, Pub.L. 111–2 February 4, 2009: Children's Health Insurance Program Reauthorization Act (SCHIP), Pub.L. 111–3 February 17, 2009: American Recovery and Reinvestment Act of 2009 (ARRA), Pub.L. 111–5 March 11, 2009: Omnibus Appropriations Act, 2009, Pub.L. 111–8 March 30, 2009: Omnibus Public Land Management Act of 2009, Pub.L. 111–11 April 21, 2009: Edward M. Kennedy Serve America Act, Pub.L. 111–13 May 20, 2009: Fraud Enforcement and Recovery Act of 2009, Pub.L. 111–21 May 20, 2009: Helping Families Save Their Homes Act of 2009, Pub.L. 111–22 May 22, 2009: Weapon Systems Acquisition Reform Act of 2009, Pub.L. 111–23 May 22, 2009: Credit CARD Act of 2009, Pub.L. 111–24 June 22, 2009: Family Smoking Prevention and Tobacco Control Act, as Division A of Pub.L. 111–31 June 24, 2009: Supplemental Appropriations Act of 2009 including the Car Allowance Rebate System (Cash for Clunkers), Pub.L. 111–32 October 28, 2009: National Defense Authorization Act for Fiscal Year 2010, including the Matthew Shepard and James Byrd, Jr. Hate Crimes Prevention Act, Pub.L. 111–84 November 6, 2009: Worker, Homeownership, and Business Assistance Act of 2009, Pub.L. 111–92 December 16, 2009: Consolidated Appropriations Act, 2010, Pub.L. 111–117
      • pnutjam 6y ago
        Now imagine one a law that takes money of of CEO's pockets. It's not going far.