You really are a little man. You throw out troll because you are a baby who really has nothing to say. I think that makes you the troll.
Germany follows this model. Is Germany in a crisis over rights with an upended economy?
You might not like the German model, and that’s fine, but have you ever thought that maybe, just maybe the world isn’t as simple as your libertarian ideal or apocalyptic meltdown?
Your case might be strengthened if your first reaction wasn’t hysterics followed by “if you make things change, the sky will surely fall!”
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Lol, troll.
Guys, guys, please, we’re all good well-meaning people here. Let’s all sit back down and hammer this out. What say you all?!
It should be noted that no one has insulted anyone so far on this thread, at least not lately. You are the first one to do so. Why? That is what trolls do. Did I hurt you at some point? Anyway, carry on troll. You have a good name for one too.
For some reason, this made me laugh at the once-a-month occurrence at my old workplace where an email would be accidentally sent to a large distribution list, then 100+ replies would follow “I think you sent this to the wrong person” followed by “You have the wrong Jon Smith” followed by “EVERYONE STOP HITTING REPLY ALL” followed by more “Please remove me from this list.”
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We weren’t even discussing the market, but property rights and the use of force to solve a social problem.
Government debt. Government pricing kids out of education with subsidies. Government inflating housing costs by underwriting bad loans (again).
Rigging the game through government and using legislatures to build barriers to entry and regulations.
Define balance, when was it in balance. Also working Americans are taxed to death by… wait for it… government.
Did it? Apple, Google, Shell all seem rather durable (since we’re talking about companies >$1B in revenue.
So forcing companies to behave in the way two bit lawyers who won elections think they should serves the public interest?
Why aren’t these good ideas winning in their own without government force? Why didn’t somebody sit these board members down in business school and explain it to them?
Every ill you cite was caused in part or in whole by government. The solution Lizzy is proposing is more government. It’s not that what they’re doing isn’t working, it’s that they haven’t been allowed to do enough of it yet.
If it’s true that the gap is harmful at the macro level then it must also be true at the micro level.
At what point did Cardone take responsibility for my welfare?
I’d say at any point in history me not working would end real bad for me, but it’s least bad in 2018. In fact not working in 2018 is better than minimum wage in 28 statea.
But you are a sample size of one.
And this is the standard we should be shooting for? We are better than the Congo so everyone be happy?
Not my response at all. Somebody should stand up and say that forcing companies to accept a new charter and board members against their will is unconstitutional and counter to the principles of liberty in every way. That’s not hysterics, that’s fact.
The reasoning behind the compulsion is weak but that doesn’t even matter. Compulsion is wrong.
@Basement_Gainz I tend to agree with TB here. It is long past time we looked at the wage/wealth gap because we do not want to go where it leads.
http://cnqzu.com/library/Economics/marxian%20economics/Schumpeter,%20Joeseph-Capitalism,%20Socialism%20and%20Democracy.pdf
For starters, I think the stock price is a terrible indication of performance. Stock price goes up and down for all kinds of reasons, sometimes pretty silly ones, that aren’t even related to the company. A quarterly earnings report comes out, they miss their “target” (for any number of reasons) and all of a sudden the stock price plummets.
I prefer using benchmarks to measure performance. For example, target bonus are paid out if X net profit percentage is met. Target bonuses are paid out at 130% if net profit percentage exceeds the benchmark by X%. You’ve set both an incentive to increase sales and reduce cost with one performance bonus.
I don’t like stocks as a form of compensation because it creates a number of conflicts of interest for the C-suite. CEOs should be concerned with running the business for long-term stability and growth not how Fidelity rates their stock in the short term and how that will affect their future payout.
For example, let’s say your company usually gives a cost of living adjustment each year that’s a flat 3%. You’re having a so-so year or you anticipate a rough patch in the future (no big product releases, low Christmas turnout, whatever) so you cut the COL adjustment to 2% to ensure you hit your annual target and; thus, your compensation remains unaffected. It’s a short-term mindset that hurts employees.
Now, you could cut the COL to 2% to hit your net profit target, sure. However, I think that is where board oversight should step in.
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So what’s the plan? Government controls in order to produce more egalitarian outcomes? History is littered with countries that tried that.
I’m encouraging perspective. Throughout most of history (regardless of government/economic system) refusing to work meant starvation and death for the common man. We’ve built safety net programs funded by debt on our progeny to ensure that doesn’t happen anymore. We have a vibrant economy where anyone who actually applies themselves and works can have a nice life. We have it way better than any generation of people, anywhere, ever.
Solving problems created by big government with more government then. Gotcha. Should be entertaining at least, I won’t spoil the ending for you guys.
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You misunderstand. I don’t agree with using the government to force an outcome. I agree that the wage/wealth gap leads to a bad place (Sanders/Cortez are just the beginning) and society needs to assess where we are and come up with a solution.
Just look at the youth today, they view socialism as favorable. Why? Because a very small percentage of people make the vast majority of the money (duh like all of time), but , more importantly, they no longer feel like they can achieve the American dream so they want to elect people who will redistribute the dream to them. That’s a problem. A really big problem, imo.
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Because a bunch of public school teachers and tenured professors without critical thinking skills taught them to.
What’s ironic is this is literally the easiest time to build wealth in all of human history.
Got a pretty ass? Bam Instagram millionaire.
Have an idea for a book? Self publish and have access to 5 billion potential customers instantly.
Notice those shoes are $50 at one store and $75 online. Arbitrage instantly.
Etc…
The favorite talking point of someone who clearly hasn’t been to school in quite a while
Agreed, I think it would be good idea if the company eliminated industry or overall market forces on the individual stock because those changes are unrelated to the firm.
I could get onboard with this, but the stock price should be going up/down based on those numbers as well, so it should be a moot point (should, doesn’t mean that is always the case). It is also short term thinking, they are only accountable to the current state of the business, not long-term performance like options that take 3 years to vest.
A 3-year term isn’t short. I don’t disagree with you, but my point is tying compensation to long-term performance is the intention of stock or options with vesting periods.
This is short-term thinking, and I think it would be that way if compensation was only tied to current benchmarks. That’s where vested stocks are better. The stock SHOULD be an indicator of the value of the firm, and the compensation has more value if the long-term health of the firm is better than today.
Edit: I do grant you the fact that stock’s aren’t always a perfect indicator of firm value, but that is what they are supposed to be. I also agree with Buffet when he said the quarterly evaluation on stock performance is killing companies because of short-term thinking.
Even if that’s true, it doesn’t matter. The reality is that the largest voting block in the United States view socialism as favorable.
Agreed 100%. People have a problem with perspective, but it’s still a reality we have to deal with.
As the Eurozone goes, so goes Germany. We’ll see.
I got to work for two weeks with a German billionaire in July. He ruminated on how the German economy works for him. Most of the big companies are private to avoid the bad regulations. He employs several thousand Germans, but many more Poles/Turks/Russians/Chinese/Austrailians and formerly Americans in subsidiary countries because the German taxes and regulations made worldwide competition a non starter if everyone was in Germany.
I had plenty of marxist professors. I had an economics professor who was giddy and super excited about the nationalization of the oil industry in Venezuela. She had a picture of Chavez in the classroom. This was circa 2006, forgive me for being so old.