Everyone ask yourself this question, and please provide an answer, I'll even look at astroligcal answers<ggg>!
Why is it when the economy starts to boom and we watch CEO's get Zillions of shares for high profits, get "Zillions of shares" for high productivity, that when the worker asks for a pay raise "to share" in this productivity that he created" Greenspan class it inflationary??
Think about that. Corporations are given subsidies to create jobs, they create jobs, the workers are grateful, and work hard for the company. Productivity rises, their share price rises as a result of being productive. CEO's get their picture in the business magazines and are hailed as "legends". There wages sky rocket and people applaud there brilliance!
The workers then say..."well if we are doing so good, we shoulld rightfully share in the wealth"! Sounds more than reasonable to me! So the workers ask for a pay hike...the company gives them a raise. His nibs "Greenspam" looks at the wage increase numbers and says "what the hell is going on here....this is inflationary!! Only one thing to do....stop this before it spreads. He jacks interest rates .5%, which directly impacts profits for companies. Companies than get flack from their shareholders about reduced quarterly earnings.
CEO's decide to "trim the fat" so they fire 30% of the workforce!!
Greenspan looks at "Non-Farm Job numbers creations and sees them dropping".....He cheers, I've done it....I have killed this monsterous thing I call inflation!!! Now if we could only get some of this unemployed people back to work!! And the cycle continues!
Conclusion
Tis a sad society the US is! It strives for employment for its people but does not want them to share in its wealth. Wages are to "at all cost" to be kept under control, and we will achieve this at the cost of the common man...meanwhile the CEO just reprices his options if the shareprice drops, and continues to be pictured in his favorite magazine!
Greenspan is dating himself, he is becoming a problem for society because the data sampled quite simply is outdated.
I personally believe Greenspan "saved" the world economies from a monetary meltdown, but like all Guru's your time in the spotlight faeds quickly!
Something for all us to think about!
the Chief |
