In Two Communities, Esteem Turns to Shock as Details Become Known
http://online.wsj.com/article/SB10001424052702303343404577519223759480972.html?mod=mktw#articleTabs%3Darticle
- Wow... is it any wonder? We see in the poll out today by the law firm Labaton Sucharow... nearly a quarter of executives in Financial Services think that unethical or illegal behavior is REQUIRED to succeed in their profession. All kinds of other statistics there as well... about how the bonus structure incentivizes cheating, etc. It'll make you shake your head in disgust:
http://economictimes.indiatimes.com/markets/global-markets/wall-street-admits-dodgy-deals-key-to-success-poll/articleshow/14808297.cms
... and those are just the ones that admitted it on the survey! I wonder what the true numbers are like. It seems the financial services industry is a cess pool of moral and ethical decay, run by and for the soicopaths that thrive there! Finance has engineered a positive feedback loop of corruption. Criminogenic compensation packages fuel unethical and illegal behavior, running the honest players out of the market... then the money flows to corrupt politicians that suck up obscenely large industry campaign donations (which will only get bigger now that the Supreme Court has raised the cap to infinity) but which pale in comparison to the bonuses which the top management hauls in. The laws are changed or ignored to suppress competition and law-enforcement (regulation) of the industry... which in turn increases the haul of money into the financial sector (during the artificial booms).
For many many decades the financial services industry only amounted to about 15% of all corporate profits in the US. If you ask me, that's a bit high for a bunch of paper pushers whose jobs SHOULD be no more exciting than typical accountants... doing boring due diligence on loans, etc. But now that number stands at 42%! Can you believe it? 42% of profits in the U.S. flow to a group who, by all rights, should represent overhead on the American economy. They don't grow anything, or build anything, or design anything, or provide crucial services (like a dentist, doctor, or barber). It will only get worse... until the system breaks again (which it most certainly will, given that nobody has gone to jail or even lost their job for the last catastrophe in 2008). Perhaps the next time the system falls apart public outrage will force some changes in a sector that is completely out of control.
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