I am amazed at the backlash over the AIG bonuses. Why are people so incensed when executives actually pay themselves huge bonuses? Let’s be honest, deep down haven't we all known fat-cat executives have been rewarding themselves substantially for years? So now we, like Captain Renault in 'Casablanca', are “shocked, shocked” to find out they are using bail-out money for bonuses? I think at least half the outrage should be directed toward the government which came up with the hair-brained idea of TARP. After all, greedy executives can’t levy taxes on the American people for a bailout which is destined to fail. And let’s not forget it was Senator Dodd that added the amendment allowing bonuses.
The behavior I witnessed on Capitol Hill last week reminded me of a spoiled kid and his family. I’m never surprised at the behavior of a spoiled brat when I know there is no discipline at home. You give a kid like that everything he wants and he will squander it in a heartbeat.
AIG execs acted like spoiled brats. They got into financial trouble and came first to Bush then Obama, then big brother (House and Senate) whining about how everything was gone and they needed more or they would “just die.” This didn’t surprise me. What surprised me was when Bush, then Obama asked me to donate to the brats in the form of higher taxes. (Obama gave me a pitch that would have made a used car salesman blush). After the House and Senate relieved me of my hard-earned cash, they turned around and gave my money to the brats, patted them on the head, and told them to run along and play nice. But the brats weren't satisfied with just making do, they wanted more. So the brats and big brother agreed to a bonus deal with the very money I just donated. They kept it between themselves because after all, (they thought) Mrs. McMichael is a nincompoop that doesn’t understand retention bonuses and high finance so why should we bother her (especially if we may need to come back to her later for more money?)
But, Mrs. McMichael did find out about the deal and started asking questions -along with the rest of the nation. And just like the parent and big brother of a spoiled brat, the peanut gallery on Capitol Hill went into overdrive pointing fingers, making excuses, and laying blame.
Now, I’m no nincompoop. And I admit I struggle to understand TARP, the bailout, and the enormity of a trillion dollar deficit. But what I can see with some clarity is the human condition. As long as we live in a fallen world there will always be spoiled brats of every kind. And there will always be politicians who race to be the first to quote from Casablanca when covering their tracks. I’m so glad my hope is in something more substantial.
