3 ms·
Ever been in a meeting where there is food at the back of the room but no one is eating it? But then one person stands up to go get a donut an then everyone rea
by bcg1 11y ago
Ever been in a meeting where there is food at the back of the room but no one is eating it? But then one person stands up to go get a donut an then everyone realizes it is ok and follows suit.
According the Ezra Klein, that it the reason CEO vs. worker pay has increased since the mid 90's. Helped, according to him, by Reagan tax cuts. I beg to differ on his reasoning.
1) While the moves are more erratic in the last 20 years, the degree of change is no that different... from 1975-1995 it was around +300%; from 1995-2015 is was around +300%... suggesting that the trend goes back further than his article accounts for with respect to the Reagan tax cuts.
2) Klein's argument is quite specious in my view... stating "it just wasn't done" without supporting evidence just doesn't cut it.
One could just as easily argue that this "phenomenon" is correlated to the Clinton administration's repeal of the Glass-Steagal Act, or the Nixon administration's unilateral renege on the Bretton-Woods arrangement through the closing of the Fed's gold window. In any case, it is unfortunate that a talented writer and researcher like Ezra Klein spends his talents shilling to support a political narrative. I'm not a republican or democrat, just someone who wants to read good and truthful information.