Why do people in the financial sector earn 100 times more than the average neurosurgeon? How is it possible that in 2009 the top 10 bankers earned an average of $900,000 an hour and the top 25 bankers earned as much as 658,000 entry-level teachers — put together? (Source: AlterNet)
Apple Inc. earned about $6 billion in 2009 thanks to 35,000 employees who design and market a vast array of amazing products. Appaloosa, the hedge fund, earned about as much as Apple in 2009 by speculating on… well, we don’t really know. How can a hedge fund that employees only 250 people, produce as much real value speculating on stuff as 35,000 Apple employees?
Then there’s the hedge fund manager who in 2010 made $4 billion dollars and only paid a capital gains tax rather than the higher rate of personal income taxes paid by his secretary.
Why do people who work in finance earn so much money? Because we’ve designed a system that lets them and encourages the rest of us to think it’s perfectly okay. It’s time to put an end to that system and put the real wealth in our country back in the hands of those who are actually creating value and worth.