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It is incomprehensible to think that a maximum pay limit for a Chief Executive Officer (CEO) could ever be imposed, in a free market society such as the United States. If this type of legislation were to be passed, it would mean the end of capitalism and set us speeding down the road to socialism and possibly a dictatorial government. In a free economy marketplace nation such as the USA, the right of the individual to accumulate wealth is guaranteed. The opportunity for the accumulation of wealth in property and assets is theoretically available to all law abiding citizens. We know of course that only a limited number ever achieve independently wealthy status, but the opportunity must not be denied. If we were to limit the pay roll of CEO's for example, then what would prevent us from limiting the Chief Operating Officer (COO) and the Chief Financial Officer (CFO) and further all the way down the line. It would also mean constant monitoring by government regulatory agencies to ensure they were playing by the rules. How would you manage such a complex system where top executives receive higher pay incentives and bonuses? Would stock options be limited as well? It would be a horrible mess, and then the question would be how much would it cost the taxpayer to regulate something with so much potential for abuse?

The American dream can be defined in different ways, but having an extravagant and luxurious lifestyle is part of that dream for those who either have worked hard or been fortunate enough to become successful. We know that CEO's are paid extravagant sums of money along with stock options and other material benefits. Its obviously unfair to the average hard working hourly wage earner, to bring home a meager pay check which will barely cover the cost of housing, food and clothing for their families while top CEO's are raking in millions of dollars each year. Some argue that the CEO drives the business and a good one can increase the company's profitability and sustain its growth. Yet it is difficult for your average employee, who is just making ends meet, to watch company executive officers siphon off a healthy portion of the company's profits.

It now appears to be part of a new American tradition, to complain about and detest top CEO's with ridiculously high paying salaries. It doesn't give us the right to take that away, though. Perhaps there is a hint of envy along with our rationale thinking. On the other hand, I wonder if our view might be a little more sympathetic if we were included in the same tax bracket.

Learn more about this author, Tom Karlin.
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