LogFAQs > #934985761

Guys look at this stat I saw on tankie twitter, doesn't it make you MAD? I mean don't think about it too much, just get really MAD.

1. Companies are far bigger than they were in 1965 and running them is a lot more complicated. There is competition for good CEOs like any other worker. They are paid based on that competition.

2. The sudden rise in CEO compensation a couple decades ago is the result of a change in the tax code that Bill Clinton introduced which was meant to limit CEO compensation. Never underestimate the governments ability to accomplish the exact opposite of what they set out to do.

https://www.npr.org/sections/money/2018/06/22/622646316/episode-682-when-ceo-pay-exploded

3. CEO compensation might be large compared to a single worker, but it is nothing compared to the companies total wage bill. What would happen if CEO compensation was instead divided among the workers? Disney employees would get about $300 extra a year. Walmart employees... $11. Turns out lower CEO pay wouldn't make your life any better and the entire premise of this topic is pretty dumb!

4. Similarly, a person in 1965 did not have a better life because the CEO pay gap was smaller. In fact I have a far higher standard of living than they did, why would I want to trade places with them?

This is why populism fucking sucks. You have a brain, use it.