Originally Posted by kane

Mark Cuban wrote a good piece on how this kind of stuff will keep happening unless there are some major changes made. He made a great point when he said that CEO's of these companies basically get their jobs then play it pretty straight and conservative until they hit their golden parachute point where no matter what, even if fired, they stand to make millions. From there they have no reason not to throw the hail mary and take big risks. If they work, they make even more money and if not they get fired and walk away with millions and millions. So they have no real incentive not to take these risks and do things that they know could end very badly.

He made some good suggestions like making it so that no CEO was paid in stock. Give them a salary and if they want stock make them buy it on their own and take that risk. He also suggests that they make a law where if a company has to have any sort of public finance bailout or help that the CEO automatically forfeits all off their bonuses and severance pay.

I found the post to be pretty cool and to have some real good ideas. Without some kind of changes there is no reason to think that this won't happen again in another 10 years.