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Location: Pantego, Texas, United States

Monday, February 16, 2009

Senator Chris Dodd sneaked a provision into the pork bill that limits the pay of bankers. I saw an honest Banker type on TV discussing this. He said that the guys deserve those huge bonuses because it was really hard to sell those toxic mortgage packages to the Europeans. I guess that makes sense. Under that logic Bernie Madoff must deserve a lot of money because it must have been really difficult to run a successful Ponzi scheme for 30 years. Somehow our society has lost sight of the truth that reward should be tied to what people actually produce. Selling risky home mortgages doesn't actually produce anything. Loaning money to people who are unlikely to repay it should not be rewarded. That seems obvious to me, but seems to have been missed by the Ivy League geniuses that ran the Congress and the financial industry.

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