Blog Credo

The whole aim of practical politics is to keep the populace alarmed (and hence clamorous to be led to safety) by menacing it with an endless series of hobgoblins, all of them imaginary.

H.L. Mencken

Tuesday, February 1, 2011

Putting the Lie To CEO Economics

I've been watching a lot of the RSAnimate videos recently, because they are fascinating and really cool to watch.  They take cutting edge ideas and help make them accessible by creating an animated version to accompany the lecture.

This one is worth sharing here:


The basic idea is that money is a VERY poor motivator beyond basic mechanical tasks.  Money does not lead to creativity or better results.  Given that we have been drilled with the idea that we have to pay CEOs massive, even immoral amounts of money because of how awesome they are - which makes the CEOs of the post war economic boom a bunch of chumps - I think this is a necessary antidote.

The reason CEOs need huge, massive, have-their-own-gravity salaries is that they are greedy narcissists.  Not because it creates better results.

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