Are America’s CEOs overpaid? - by the Economist

 Long gone are the days of Drucker's recommendation:

“I have often advised managers that a 20-to-1 salary ratio is the limit beyond which they cannot go if they don’t want resentment and falling morale to hit their companies”. - Drucker

My opinion (as almost in everything) is that the right price should be attached to the value that can be created (at relative terms vs. the best alternative). So, it is the avg $14m/year fair?

Depends on the value that is generated by each in relative terms and as long there is a competitive market behind, otherwise it could be considered rent-seeking 😀. Leave it up to you to assess!

Recommend its reading!

Are America’s CEOs overpaid? (economist.com)

#compensation #finance #corporate