Monday, October 12, 2009

Goldman Sachs & Politicians

A wise DC hand once told me a lot of politicians go ga-ga in the presence of Wall Street tycoon types because politicians do not generally know how to make the kind of money Wall Streeters do seemingly without much effort.

Politicians equate these bankers as demi-gods because the money they earn is very much out-of-this-world.

It is easy to understand that attitude because indeed Wall Street salaries, bonuses and stock options are most unusual. Very often investment bankers can choose to retire in their forties with a couple of hundred millions in their pocket. A Senator makes nothing and would not know how to make that kind of money even if he were on the take. Lobbyists have a field day buying favors with very little money.

Read the latest on Goldman Sachs bonuses here.

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