Thursday, December 18, 2008

Is compensation to blame?

History will look for answers to what caused the problems, but somewhere in that mix, compensation has to be a part of the problem. From increasing an already risky environment, to rewarding lending to questionable borrowers, to creating incentives to increase information asymmetries, compensation practices have to be examined.From the NY Times:The Reckoning - On Wall Street, Bonuses, Not

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