Bailout and CEO Compensation Updates

The House voted down the $700 Million bailout. Here is a great quote from Rep. Jeb Hensarling (R-Texas) explaining his opposition to the bill:

If we lose our ability to fail, we will soon lose our ability to succeed. If we bail out risky behavior, we will soon see even riskier behavior.

Well put. Still, I have conflicting feelings about the idea of a bailout. Saving a failing economy seems like a good idea. Figuring out the solution on such a tight timeframe seems like a bad idea.

More CEO compensation numbers for failed companies:

• WaMu: $20 Million (for 17 days of work)
• Wachovia: $12.3 Million (a drop of over 40% from 2006)

Maybe this crisis will bring more reasonable compensation plans. Yeah, right.