This entire AIG bonus issue is such a distraction to the bigger issues here that you can expect the politicians to keep it in the news as long as they can. The distraction is simple to understand; taxpayers save a company and find out bonuses are paid out to a company that would have failed without our money which is definitely a problem.
But the real issue here is the fact that AIG has been picked for a bailout because of their contributions to politicians. Chris Dodd received $103,000, Obama $101,000 so of course they are going to receive help from politicians to stay in business. These two and many other politicians have a vested interest in keeping AIG viable.
This is pure and simple class warfare and socialism all wrapped into one issue. First, people believe these bonuses aren’t deserved. In that they are right but there are contracts in place that guarantee these people that are commissioned based get their due. The perception is that these bonuses are going to rich people which may or may not be true but people are starting to resent people of wealth. Contracts in America are the legal foundation of our society. Having government oversee a business like AIG is socialism and this is an example of one of the many problems of having government involved in business.
This phony outrage by the likes of Barney Frank and others is disturbing. More disturbing is the comment where Frank had a total disregard for the contracts in place. As if he could just wave his wand and demand the contracts be null and void. That will not and cannot happen. I understand the remark coming from Frank because he is truly and imbecile, a disgrace to our country, but more disturbing is the support he seems to be getting for going after these employees.
Instead of focusing on the pay to failed executives in the private sector how about we focus on the failed executives in our government? Trillions ($1,000,000,000,000+) of tax dollars are being wasted right under the nose of this congress and they have the nerve to focus on 165 million! Social Security is going bankrupt, 16 billion of waste and fraud in Medicaid and Medicare, a welfare state that steals the hopes and dreams of millions of Americans, to name a few failures, and these guys are trying to distract us with this 165 million dollar contractual payment to employees that have been unlucky enough to have been taken over by the government.
This is outrageous that we are so willing to follow this story but are not willing to hold these distracters (our congress) accountable for the trillions they are wasting. When will we learn; the government is the biggest problem we face in this economy, not a 165 million dollar bonus…
P.S. Happy Birthday Mom!