Friday, January 26, 2007

 

Virginia Senator is Not a Thoughtful Man

I've always liked the new Virginia Senator, James Webb, ever since I read Fields of Fire in 1979. He's a usually good man and a talented writer; he served his country very admirably in Viet Nam and later in politics as Reagan's Secretary of the Navy (who quit because they wouldn't build enough ships). He was a good Republican. I'm almost finished his Scots-Irish book Born Fighting in which I learned that his people come from the area around Gates City, VA, where I lived for several months shortly after my birth oh so many years ago. I know this guy, but I can't figure out what's energizing his thinking. He's gone all populist on us. His short "rebuttal" to the recent, decent State of the Union address, which has been highly praised by such Democrat stalwarts as E.J. Dionne and Jonathan Alter, however, gave us some insight into the limits of his recent political philosophy.

First, he decried that CEOs of major corporations earn a lot more than the average worker at those corporations. No kidding, and what's wrong with that? Quarterbacks with cannon arms earn a lot more than the guy who moves half of the first down chain. Why is that? Is it because millions have the skills and talent to move the chains but only a few have the ability to be a successful NFL quarterback? Just so, millions can do all sorts of things for the corporation but only a few have the leadership skills and other talents it takes to run a large business organization successfully. They, like quality quarterbacks, can hold out for a lot of money and they do. Not only is this OK, this is the way it should be--talent and hard work should be rewarded, there never should be any governmental impediment to getting paid well if you are talented and work hard. It is scary to me that Webb thinks the government should do something about it. It is a truism that conservatives believe in equality of opportunity, while liberals believe in equality of outcome. Webb has fallen for the latter in a big way. It is socialist thinking and to my mind, at least, anathema to the American way of life.

The other revealing part was his praise of the end of the Korean War by President Eisenhower. There was no end to the Korean War, just a cease fire very like the cease fire at the end of the Gulf War. We had saved South Korea from being placed under Communist tyranny but we had been unable to hold on to North Korea when Chinese Communist forces poured in to keep at least the North unfree (and poorly led--perhaps a million North Koreans have died under the Great and Dear Leaders' less than kind hand, and untold suffering has held sway). Oh yeah, and we've kept thousands of troops in South Korea for the last 54 years. Forgive me if I think that such an end to the Gulf War would not be so great. But of course we've seen the Democrats since the Korean War willing to throw our former allies to the Communist wolves, just as they did after we bugged out redeployed out of Viet Nam. So Webb is for carrying on another Democrat tradition. It's just one which I find particularly shameful. I hope we on the right don't let them do it again in Iraq.

Jonah Goldberg, I'm happy to say, thinks just the same way.

UPDATE: Senator Webb (D-VA) also said: The majority of the nation no longer supports the way this war is being fought; nor does the majority of our military. (Emphasis added).

I'm doubting that last part a lot. Is there a poll of servicemen he's referring to here? The war Webb is referring to is not the Global War against Jihadists but the ending of the Gulf War, the war in Iraq (although it doesn't really make a difference--I'm sure Webb is just as critical of how the President is fighting the broader war). I'm reasonably sure that history will see the fighting in Iraq as just a front in the world war, just as Mesopotamia was just another of many fronts during WWI. Webb won't recognize this, either from ignorance (tough to believe) or from his famous Scots-Irish stubbornness and loyalty to his new party. In the polls, some of the dissatisfied are dissatisfied because we're not fighting hard enough, because we're fighting with our arms tied behind our backs. That's not lack of support for a new focus and strategy with more troops in Baghdad and al Anbar, it's just the opposite.

UPDATE II: Lefty commenter peter b points me to the Military Times Poll at MilitaryCity.com. (Thank you very much). And it's just as I suspected. For example, 50% said we're really likely or somewhat likely to succeed to 41% who think it's somewhat or very unlikely. 35% approve of the President's handling to 42% who disapprove but 22% had no opinion or refused to answer. 42% is not a majority, unless my math skills are really gone. And there is no follow up to see if the disapprovers think we should run away or put in more troops. We have to guess about that, but here's a clue: 26% think we should have less troops in Iraq, 13% think the current number is fine and 38% think we need more (with a large 23% no opinion). So the majority (an actual majority with more than 50%--not a Jim Webb majority with less than 50%) think the number of troops is fine or too low. Not exactly majority support for the cut and run redeploy crowd.

Comments:
Rog,

I am on my out the door so I will supplement later, but you are all wet regarding CEO's.

Tom Brady wins football games, or is an integral part to the success of his team. He deserves the millions he is paid.

Robert Nardelli of Home Depot presides over a company whose stock price declines on his watch and walks away w/ 210 million I think was the figure.

I will cite the studies how it is determined how the compensation of CEO's of many major corporations is set. There is a lot of old boy networking going on. Not talent being rewarded.

I decry CEOs who run large corporations unsuccessfully being compensated as if they did.

There is a growing gap between the rich and the middle class in this country and an even wider disparity between the uber rich and everyone else. See your last kidney stone post and the implecations and comments re H&A insurance.

T
 
Either way Tony, this is a free market, and Nardelli made a deal with Home Depot........it's up to the major shareholders to do something about it....I am curious as to how a corporation that wishes to pay a CEO whatever, has anything to do with the plight of the common worker and unfairness....? You think government should step in and cllamp down on high level corporate salaries in the free market ?? regardless of whatever good ol boy network one may percieve here...the last thing that we need is the government stepping in.

Oddly enough, as a huge sports fan, I think that most star athletes are grossly over paid for what they do.....yet I don;t want the feds investigating why Tom Brady makes millions while the waterboy is busting his butt for 30k a year.

Just sayin.....
 
Good thoughtful comments both, but all I hear from Tony is Blah Blah unfair outcome Blah Blah class envy Blah Blah [subliminally} socialism blah blah. Mark, on the other hand, was reaching me.
Tony, I was kidding about the blah.., You think and write well but you are all wet about the government "doing something" about CEO compensation. It's very like MsCain & Feingold wanting to "do something" about money in elections. Yeah, that was a god- send.
 
Military Times Poll:

http://www.militarycity.com/polls/2006_main.php
 
Roger,

I have just concluded feeding the Chinese and partially washing up and the remarks are being made through the red mist so I will try and keep them temperate.

Mark. Professional athletes, athletes though they may be, are involved in show business. The NFL and the NBA are the best run, so far as finances are concerned, of any of the professional sports leagues. Cameron Diaz and Julia Roberts command about 20 million per picture and there is no way to know until it is released whether the movie will make money.

Musicians, AI, Carmello, and Tom Brady make what they make b/c the enterprises in which they are involved make enough money to pay them, and w/ these athletes, there are salary caps.

Three years ago, my daughter, Karen,
wa invited by a friend to a Van Morrison concert. "Yay," she thought. That was b/f she learned that the tix were $300.00 per. This was somewhat beyond her means as a 19 year old college student. You know, when I was her age, adjusting for inflation, no one who I wanted see commanded $300.00 per.

If you paid for tix to Woodstock, it cost $37.00 or something.

Meanwhile, back at Home Depot, however did that happen? Well, Mr. Nardelli said: "I want this" and the board of directors said: "Okey doke." But the board of directors is made up of some CEOs just like Mr. Nardelli. In other words, are these guys really going to say: "You know, maybe we should tie his compensation to profits and stock performance. Maybe, if the comany is not doing so well, we should be able to force him resign and leave his office w/ nothing but his $2,500.00 suit and his personal furniture and art collection."

Then they smack themselves in the foreheads and say: "Whatever was I thinking? If we do that here. Our own comapnies will tie our compensation packages to performence so when we are invited to leave by the board b/c we have failed utterly in achieving our objectives, there will be no golden parachute. So we will just sit on each other's boards and let golden parachutes become the expectation and reward for incompetence and then, guys like Mark and Roger who are actiually talented and good at what they do will say: "Hey it's the market, it is meet and right so to do."

Hey guys. Who deserves the $210 million: Robert Nardelli who under performed or the stockholders?

The coffee is there to smell guys.

I don't think the government should do anything necessarily, although what about that guy who going to run the NYSE?

Stop thinking that "the market" will take care of everything. It doesn't. The NFL makes gazillions of dollars. The NY Yankees make gazillions of dollars. The KC Royals make squat. If the NFL ran itself like MLB, would the Green Bay Packers exist? If MLB ran itself like the NFL, KC and Pittsburgh might actually appear in the playoffs again.

Think about it. Have a cup of joe. Savor the aroma as you do.


T
 
I'm supposed to drink tea bit I catch your drift--you are implying we cannot see the obvious. Here's a little news. Back when CEO salaries were lower the government decided to even things out and put a special tax on a salary over a million--so the companies went with other forms of compensation like stock options which is where the really big money is. Julia Roberts used to get 20 mil because the producers felt her name on the movie was actually worth at least that. Sometimes she did not deliver. I don't believe Diaz ever got that much, but maybe that's just me. Sometimes they promise the CEO a lot to put his name on the letterhead but he, or she ever more often does, not deliver. Do you complain about Julia's movies that fail to make even her salary? I haven't heard you do so, but we rarely talk movies. Maybe you do.
The salary caps are on a whole team not an individual member per se. But even that shows this high price of superstar athletes and CEOs is just supply and demand of very rare skill sets. (Ther are more good guards than running backs, so guards get paid less)
Stop with the old boys network--this is business not cronyism.
You say that the market can't cure everything but I'm still waiting for an example. Isn't Van the Man pricing himself out of a new generation of fans a sort of market failure (or at least a market ploy)? I admit I know next to nothing about economics, otherr than Marx and supply and demand. I hope to help myself out with P.J. O'Rorke's new book. I d admit I went a little strong on you, Tony making you the punching bag because my own party is driving me nuts. But we really do not see eye to eye on this populism stuff.
 
Rog,

I have no beef w/ a CEO getting paid a dumptruck load of greenbacks if he delivers. But seriously, check out the way these guys have their compensation set.

The outside directors tend to be the CEOs of other large corporations.

There are more factors w/ movies. I don't happen to think that Julia Roberts can play any role other Julia Roberts but a few years ago, if her name were on the credits, people would go.

I just don't thin Robert Nardelli deserves $210 million for presiding over a drop in stock and he isn't alone.

As for Iraq, I have decided that staying the course was the solution.
The issue is then do we redeploy; do we send another 21K troops; or we do we send more than 21k troops which I don't think is an option.

Do we send the troops to Baghdad or Anbar Province.

That story about the blobsledder being killed by gunmen dressed as US troops got under my skin to greater degree than almost anything I can remeber recently about this war. Where did they get US uniforms.

I mean when these are guys are caught, part of me thinks they just should be beheaded on the spot pour encourager les autres. Unfortunately, that's exactly what might happen.
 
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