Gap between CEO and workers is much worse than you realize

Question

https://www.washingtonpost.com/blogs/wonkblog/wp/2014/09/25/the-pay-gap-between-ceos-and-workers-is-much-worse-than-you-realize/?hpid=z5

don juan · Answer

https://www.washingtonpost.com/blogs/wonkblog/wp/2014/09/25/the-pay-gap-between-ceos-and-workers-is-much-worse-than-you-realize/?hpid=z5

kaponofor3 · Answer

The pay gap should be different (and drastic) between CEOs and unskilled workers as the article calls them.

kaponofor3 · Answer

Let me talk to you now about a great example of misleading statistics and context... from the article:

"The average Fortune 500 CEO in the United States makes more than $12 million per year, which is nearly five million dollars more than the amount for top CEOs in Switzerland, where the second highest paid CEOs live, more than twice that for those in Germany, where the third highest paid CEOs live, and more than twenty one times that for those in Poland."

Wait, you're telling me that the average Fortune 500 CEO -- i.e., CEOs of companies with very, very high revenues -- makes nearly 5 million more a year than the top CEOs in Switzerland, which isn't exactly known to be the home to nearly as many high revenue generating companies as the US? YOU DON'T SAY?! Who would have thought that a country that has a lot of businesses that make a lot of money pays their leaders more, on average, than a country who doesn't have that high of a level of high-revenue generating companies.

Always consider the context of statistics. Always.

TheGoldenGoose · Answer

In the mid 1960&#x27;s, the CEO to Workers pay was roughly 30-1.  In 2014 the CEO to Workers pay is roughly 350-1. Please explain the foundations of modern business systems and the three philosophies of Capitalism, Socialism, and Communism as pertains to Management Fundamentals, Organizing and Staffing, Labor Management, and Operation Production.  And finally, please discuss the reasoning of a wage difference 100x magnification and the effect it may or may not inflict upon the Middle Class Community and Society in general.

rick3117 · Answer

You can thank a minimum wage for holding pay down. If it is increased, guess what, 3-5 years down the road the gap will return.

The only solution to this problem would be to limit what people can make. Good luck with that one.

canovsp · Answer

Rhetorical question Rick since I think you and I share the same political philosophy on capitalism...What would happen when you limit what people can make?

TheGoldenGoose · Answer

Why are you trying to take kapono off the hook?And you didn&#x27;t even address the question on record.Let kapono explain himself.I can wait a long time.

rick3117 · Answer

Liquidity would suffer, there would be less investment. Less incentive to produce, lag in GDP (which could be serious). Many would not have incentive to continue operations. I think mainly what would happen is there would be an exodus of all of the rich to business friendly environments. To see an extreme example of this you could look at the USSR and how their production suffered when you took away incentive. We would still have price discovery, but possible deflation as a result of less opportunity to earn money.  That would dry up the loan markets and make it difficult to buy a car, home etc.  Ultimately there is no sane economist who thinks that this would be a good idea, so there is little to no chance it would ever be enacted.  Not to mention the hurdles in the house.  It would have to be an illegal executive order.  That also wouldn&#x27;t play in today&#x27;s America.  it is a fantasy of socialists everywhere that somehow limiting what upper earners make somehow diffuses to the middle class and poor.  It doesn&#x27;t  that value would disappear overseas and into an abyss.

TheGoldenGoose · Answer

blah blah blah blahanswer the question on record.

don juan · Answer

Everything has a limit Soupy. My favorite question to you is.. How about if they all could make a trillion dollars ? a year, and pay lower taxes ( they still wouldn&#x27;t be happy ) but if they could. What would it do ? &#xD;&#xA; &#xD;&#xA;It would wreck the middle class and the government. &#xD;&#xA; &#xD;&#xA;That&#x27;s is exactly what is happening to you, in the middle class. But you are blinded by right wing con artists, who bring up the same old subject every election time, namely, gun control. &#xD;&#xA; &#xD;&#xA;Because, you are so afraid they will take your weapon stash that you vote again your own best interests. Meanwhile, behind closed doors the top dogs a laughing at you, all the way to the bank !

kaponofor3 · Answer

What is this supposed to be, a final term paper essay that you want me to write?Re: the ratio between CEO and lowest worker pay in the 60&#x27;s vs. in 2014 -- I wonder if revenues increased during that time frame as well? I would imagine that has a lot to do with your inquiry.

kaponofor3 · Answer

GG: If you have specific questions, I will gladly address anything you may wish to inquire about. But the "prompt" you gave me in Post 4 really is calling for a narrative and is a little too open ended IMO

TheGoldenGoose · Answer

At ease Soldier.If revenues have increased, as you stated, why have Workers Pay been SEVERELY BEATEN DOWN opposed to CEO Compensation?  Simple question...Give us an answer.The Middle Class in the USA has been assassinated.I&#x27;m confused as to why Middle Class citizens like yourself continue to take it up the azz while the ONE % ers laugh behind your back?You must be a Corporate Attorney.Please tell us you ARE NOT a Corporate Attorney.

TheGoldenGoose · Answer

[Quote: Originally Posted by MickSpeed17]  &#xD;&#xA;TheGoldenGoose is 100% correct  [/Quote]Thank you MS

TheGoldenGoose · Answer

Please tell us you ARE NOT a Corporate Attorney.

rick3117 · Answer

Did you ask me a question

rick3117 · Answer

Oh, the ridiculous term paper you outlined?

Fuk that.

The best thing we could do is have more protectionist policies to keep U.S. money in the country, and prevent capital flight.

I don't think our taxes should be as high for corporations, but I don't think we should provide incentive for outsourcing, and flight of capital.

We shouldn't hand GM billions so they can send it (and a ton of US jobs) to Mexico.

TheGoldenGoose · Answer

ANSWER THE GOD-DAMNED FUKKING QUESTION...

In the mid 1960's, the CEO to Workers pay was roughly 30-1. In 2014 the CEO to Workers pay is roughly 350-1.

Please discuss the reasoning of a wage difference 100x magnification and the effect it may or may not inflict upon the Middle Class Community and Society in general.

MickSpeed17 · Answer

People pay CEOs what they want, people pay celebs and athletes what they want.......free market, baby !!

rick3117 · Answer

No

TheGoldenGoose · Answer

You coward rick.  You won&#x27;t even accept my friend PM.You scared of me???

rick3117 · Answer

Haha, I honestly didn&#x27;t see it. Friend request accepted.  Why don&#x27;t you just tell me what your point is.

wallstreetcappers · Answer

[Quote: Originally Posted by MickSpeed17]    People pay CEOs what they want, people pay celebs and athletes what they want.......free market, baby !!&#xD;&#xA; &#xD;&#xA;                                [/Quote]Is this the joke of the day?No such thing as free markets silly...I think we debated this a few years ago though right???

TheGoldenGoose · Answer

The OP was making a point that the CEO compensation is insanely out of whack and that has a direct effect on Workers Wages. I concur. You apparently do not.

It is just unbelievable to me that Middle Class America continues to accept the continuing shiitier jobs with lower pay, longer hours, reduced benefits, no overtime pay and zero pensions.

THE SYSTEM FUKKED EVERYBODY THIRTY-FIVE YEARS AGO.

And nobody seems to notice. Nobody seems to care.

And you know what? I really don't care either way.

I have a plan. My plan.

I am bailing out of this country in July of 2015. Bye-Bye.

But you guys hold the fort. Keep supporting those Corporate Fukks.

Gap between CEO and workers is much worse than you realize

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