Current Events

There are many interesting things going on in the world today. The one that I found to be the most interesting is the overhaul of the AIG bonus system. I find this interesting because this is a meeting of my Major, economics and my minor, political science. It seems that there are hand in hand on this subject because part of the economic crash was in part due to rampant bonuses on wall street. Some executives were getting paid tens of millions of dollars just to step down from their positions. The most refreshing part of the article was when AIG spokeswoman Christina Pretto, said ""Aligning pay and performance is the hallmark of many world-class organizations and is critical to our future success" I feel that it is about time somebody took notice that position has less to do with pay then performance does. I hope that since AIG a large cooperation has implemented more performance based bonuses other big companies will follow suit and hard work will again become the best policy for ensuring financial success as opposed to the thievery has been occurring.

In another story about a country with a rededication to fiscal responsibility Greece’s Prime Minister George Papandreou has said he will "take any necessary measures" to reduce Greece's deficit. Although I am admittedly no expert on Greece’s financial policy I am excited to see another country who is interested on doing something about a debt problem instead of continuing to borrow from other countries. I feel that they days of pay as you go need to be brought back. Law makers must again understand the value of the dollar. Just because they are free to mint more does not mean that comes without a cost. I am excited to follow this story because I am interested in seeing what Prime Minister Papandreou can come up with to help make a dent in his countries debt, if anything he does if effective I would then like to see it implemented worldwide.

In a final financial story, the Euro is in trouble in Europe. As I previously mentioned Greece is in trouble financially and needs to be bailed out by Germany. The world markets in general are in a week state and it seems there is no way to set the reset button. The article really doesn’t say much about whats going on but this is another story I will follow with much interest.

This is a video about what is going on with the Euro.