It is astonishing to see how some people do not learn their lesson. As the financial market is at the verge of a total collapse, top executives can still find reasons to justify spendings of $440,000 on a luxury weekend conferance in California. This was the case of AIG executives that just a week after the governmental bailout of $85billion felt that there was room in the company budget for luxury spendings. One would think that at these difficult times, where companies are running out of funds, this would be out of the question. It is not hard to understand that the general public look at the future to come nervously, many have their savings in these companies and a bankruptcy and a loss of these savings would of course have great impact not only on the individual itself but the entire economy.
For these people to then read in the news that raised taxes used to finance major bail out packages contibute to a continuation of luxury behaviour and extremely high salaries, even up to $1 million a month, is not easily understood. At this point in time where there are discussions of a global recession, these top financial executives should more than ever be playing their part in creating stability in the market once again. There is one thing I believe any investor would agree on and that is that we will not be able to get the economy back on its feet individually but rather collectively.
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