Trusting the Marketplace

[TexasTiger 13,005]

Trusting the Marketplace

Confronting critics of the Bush administration's economic record, Treasury Secretary John Snow said the widening gap between high-paid and low-paid Americans reflects a labor market efficiently rewarding more productive people . . . Mr. Snow said the same phenominon explains why compensation for corporate chief executives has climbed so sharply.

"In an aggregate sense, it reflects the marginal productivity of CEOs. Do I trust the market for CEOs to work efficiently? Yes. Until we can find a better way to compensate CEOs, I'm going to trust the marketplace."

Wall Street Journal

Snow Defends President's Handling of Economy

March 20, 2006

Before coming to Treasury [in February 2003] Snow was Chairman and Chief Executive Officer of CSX Corporation, where he successfully guided the global transportation company through a period of tremendous change.

Treasury Department

Official Biography of John Snow

Price change, 10 years ending Jan. 2003

CSX common stock: -3.89%

S&P 500 Index: 92.49%

Earnings per share growth, 10 years ending Jan. 2003

CSX: 18.90%

S&P 500 Index: 33.43%

Revenue growth, 10 years ending Jan. 2003

CSX: -6.75%

S&P 500 Index: 43.12%

Cumulative return, 10 years ending Dec. 2002

CSX: 5%

Dow Transportation Average: 62.7%

S&P 500 Index: 144.3%

Total compensation paid to John Snow by CSX shareholders, 10 years ending Dec. 2002:

$56 million

Total compensation paid to John Snow by CSX shareholders, including the then-present value of his stock option awards:

$112.2 million

http://billmon.org/archives/002363.html

[DKW 86 7,440]

Trusting the Marketplace doesnt work sometimes. See Theresa Heinz-Kerry. She got close to $800 million for sharing the bed with a Heinz brother. Face it. If she were in a bar in Vermillon, Ohio, she is still gonna be the last opne taken home and it will be after 2AM and the beer goggles would have to be firmly in place.

[TexasTiger 13,005]

Trusting the Marketplace doesnt work sometimes. See Theresa Heinz-Kerry. She got close to $800 million for sharing the bed with a Heinz brother. Face it. If she were in a bar in Vermillon, Ohio, she is still gonna be the last opne taken home and it will be after 2AM and the beer goggles would have to be firmly in place.

226820[/snapback]

Inheritance and compensation for one's job are two different things. Your Kerry hatred is far stronger than your logic and reasoning skills.