[PEN-L:11221] on CEO Pay

[PHILLPS@xxxxxxxxxxxxxxxx]

I must admit I am a little suprised that Pen-l-ers would be
debating this issue in terms of neoclassical marginal
productivity.  This is the equivalent of arguing, what is
the marginal productivity of a mugger? (i.e. someone who has
market power because of some non-market force.)
  The moment one moves to a non-neoclassic frameworke (as Jim D
suggests) then the problem is "solved".  There is a surplus
distribution problem.  This is not a market problem, but a power
problem. (Why is it that non-neoclassical economists avoid the
issue of power?)  One can utilize rent theory to justify the
resulting justification.  But, if we were honest, that is really
crap.  Let us put it a different way, what is the mp of
a crime king (and are CEOs really different?)

And on a different stream, a colleague of mine posted a
document documenting horrendous war crimes against the Unites
States  Government, specifically with regard to the use of
biological warfare against Cuba.  Yet, despite the level of
despisity (is that a word) of the offense, not one member
of this list from the US has responded.  Comment?

Paul Phillips,
Economics,
University of Manitoba