Wage Controls Don’t Work
David Weinberger /
CNBC reported on Obama’s Pay Czar earlier this week:
Under the plan, which will be announced in the next few days by the Treasury Department, the seven companies that received the most assistance will have to cut the annual salaries of their 25 best-paid executives by an average of about 90 percent from last year.
As the Heritage Foundation has explained before, wage controls don’t work . Policy based on envy and disdain rather than sound economics will do nothing to aid a recovery. (more…)