Should Congress put a cap on executive pay?

January 4, 2009

Robert H. Frank says no. A wiser approach, he suggests, is to raise tax rates on the highest earners.

I agree. The motivation for limiting executive compensation is understandable. But the logistics of a true cap are problematic, and the merit of singling out executives as opposed to entertainers, athletes, and non-executive financial high-rollers is questionable.

2 Responses to “Should Congress put a cap on executive pay?”

  1. Ryan Baird Says:

    A truly progressive tax is needed.

  2. Tomboktu Says:

    I have been thinking about the issue of limiting high pay for the last few months. In September I mulled on the Web about some of the issues. Since then I’ve been rooting around looking for more material on this, which is how I came across your blog.

    I (mischievously) wonder if we could compromise: We won’t put a cap, but use a progressive tax, which will hit 100% for all income above a certain level


Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

Follow

Get every new post delivered to your Inbox.

Join 136 other followers