At the moment world banks are accepting more debt in order to prevent depression.
This is to ensure that shareholders don't lose their money; that bankers don't go bust; that speculators don't get wiped out and the top business executives don't lose their jobs. In a depression all these things would happen.
Would this be so bad?
According to The Guardian: "America's CEOs have enjoyed pay rises of up to 40% last year with one chief 'earning' $145million.
With rising share prices (with a little help via QE remember!) the average bosses' stock options rose 70% in 2010 to $1.3million."
US top earning CEOs include:
At McKesson -the world's largest health care company, John Hammergren made $145,266,910 last year; most of it share options.
At Aetna a health insurer, Ronald Williams made a profit on his share options of £50.4million. The company's share price has tumbled 70% since he took control in February 2006!
Thomas Ryan also made a profit of $28million on his share options whilst the company's share price fallen 54% during his 13 years in charge at pharmacy chain CVS.
Omnicare's Joel Gemunder, received a cash severance on retirement in August of $16million, part of his final-year pay totalling £98.28million.
These numbers are obscene! The working man is getting shafted.
The average amount of money that would have gone to American working people, if they had maintained their share of the national income at the post-war average, is $740 billion according to the Financial Times.
This is money that should have been paid to the very people who do the buying.
According to the figures the average American worker would have had an extra $5,000 more in 2011 alone if wages were still at 63% of national income instead of the current 58%, with more going to the bosses.
The US is not alone in this.
Executive pay in the UK is at record levels whilst "we are all in it together" (yeah right!) the average worker is seeing his pay frozen and his living standards fall.
