the wall street journal editorial
it's uh... labeled greed is good through
a couple of days ago a lot of our
listener santos i'm very thankful that
they did
uh... it's written by roy c smith he's a
professor at the end wave is a school
and a former partner act of course for
the sax or apparently everyone
in wall street has worked at some point
uh... so uh... he says humor
alleviate these bonuses
throughout quote from the uh... opinion
piece here
isn't bonuses or important necessary
poor
of the fast-moving
sarma a high-pressure industry
anderson plays forceful strong
performance effectors
so what does he said he said but this is
fast moving in high-pressure
yes don't understand
from being where you work that it's not
that the
are you
we've under a lot of pressure on one st
oversold as we did our politics
about on the upside and employs four ish
strong performances centers
do the employees
on wall street appear to be flourishing
right now
in such a good job that companies or
just blossoming
is that what's happening
don't look like it doesn't
it looks like they did not first of all
in fact he sucked
so but now they need all these funds we
can do it
diseases like there's a fundamental
misunderstanding of how bonuses are paid
as further inflaming public opinion like
i'm doing right now assault flame when
we come down into several condemned by
the way
these companies that song
uh... these exams aside their companies
this year two thousand acre
eighteen
billion dollars involves eighteen
billion
but it's necessary
and were playing he continues his as
the system has become more complex that
most people know
it was formed the bonuses but not
entirely discretion
uh... ideas you can see this so
complicated so high
speeding so much pressure and we can
expect you to view dapat
shutoff and pass the bonuses anyway
because they're not really discretionary
they have to be paid
as at work
if you're coming doesn't make any money
is your bonus discretionary now
your bonuses a discretionary here is
your
uh... i mean
your instead uses for it to you about
this business right now to say
your salaries discretionary
and sometime your four o_ one k_
discretionary powers of lead is fishing
because of the company goes under your
getting
dole out on wall street on wall street
we have to taxpayers have to pay up for
it
enormous sense that discretion
and then he continues the market thrives
on
look a new opportunities providing
innovation
and willingness to take rests is also
regrettably the subject to one economist
john maynard is maynard keynes called
animal spirits the psychological factors
that make markets irrational ongoing
upper down
limit decode that for you put on my
decoder ring
uh... he says
look
we have to take all this risk
because that that we don't think this
kind of rest
then our financial aid issue cannot
flourish
the way i talked about earlier
and yes well we can't use u_s_ sometimes
that animal spirits takeover at a
bargain goes up a dot wickedly blame for
that
because they're such high fast you know
in a high pressure guys that do work in
this environment
and within the first we have to make
amends money you have to pay it
and we cannot be held responsible for it
all when the market goes up and out
and then he continues here pricing
the capital markets industry operates in
a very sophisticated
and competitive environment
whatever's but that's a strong
performance incentives
so he'll need all comprehend
sophisticated or competitive i know what
are your job as the day
your job is unimportant and not
interesting
so you don't have to work on performance
incentives and you don't have to work on
bonuses not to do and those ones don't
have to be mandatory in your case
because secure about wall street you
don't
discover regular job please
but the people on wall street or any
guts
you parked sofa
this vacated wicket i've seen all of us
can understand them and thereby but is
so competitive
has a talk show violence at not
competitive
commensurate
women don't ob gyn would come on any
gain jobs compact
i'm eddie job of most jobs are very
competitive and don't have guaranteed
bonuses
when the u_s_ taxpayer
and then unwittingly at the end of the
article boise smith
screws up in this
what actually happened
he explains that in the early nineteen
seventies
uh... the one st is the privately owned
and the reason they had these bonuses
system was because
uh... it was really cutthroat
if u delivered for the bosses for the
partners
and then you got a bonus and good job in
you get to keep your job for next year
uh... if he didn't deliver your five ok
didn't get any kind of votes they were
not mandatory ot
but later we switch to a system where
these
uh... companies to see a problem
in which case you will no longer playing
with the bankers money
you're no longer playing with a partner
site
you're playing with
other people's money
and so when that came into effect
a simple kids again if you lose it
i didn't say that in the board meetings
but there was a wink and a nice
we only more money in the short term
we'll make more bonuses the more risk we
take
enough interest doesn't pan out
well it's not really our money anyway
it's those suckers money
so let's take although this weekend to
get as much money as we can
and that's what went wrong
in even though she says he's on the
stand out a little bit has seen
writes about
because of it
he still says in the end no you don't
understand even though things have
switched
and we lost all of your money
we still deserve those bonuses
this we work and such
high fast fast-paced high-stress
jobs and it's just a bit scary for you
to understand
and you know what i said about
k
you've always man
no way we should give you those bonuses
and hw titles the peace greed is good
please
my thoughts on reader a whole nother
thing to get the settlers were detected
working but
this is unconscionable don't let him get
away with it and and i'll tell you what
if you should call when this comes back
to congress that come begging for more
money if this love this guy is bullshit
when ok tell your congressman the no
this is not the old bush days
the executive branch is not one
everything
we have three branches of government and
congress should say powell nomad
no no no not at the back door way
