Thursday, March 19, 2009

Blame Congress, Not CEOs

Each day the news is filled with outrage over bailouts and how those funds are spent. I do not understand people's anger. It is like offering a large inheritance to a teenager then being shocked when they spend the money in imprudent ways.

The fault lies more with Congress and less with the companies. Congress is rushing massive bailout packages without taking the time to figure out just how this money is truly going to help. Each bailout is a further disaster with grim tales of gross overspending by the recipients. Each time this happens, we are shocked.

If we were truly worried about the economy and truly concerned with the behavior of corporate America then we should have had more seat changes during last November's election. Instead, we kept most of the incumbents – the same ones who were blindly issuing out bailouts last year.

Now as tax payers, we are paying for the companies who also squandered our 401ks. That means we are paying double. Perhaps it isn't useful to blame Congress either; after all, we let them keep their jobs. At least one industry is gainfully employeed.


Pam Walter said...

Good points. I am also concerned about the movement to penalize the recipients of bonuses via heavy taxation. The notion of using the IRS or any other government entity to target specific people for punitive treatment is more than a little scary.

Haiku Poems said...

yes i'm totally agree with u.

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