When the history books will be written about this market there should be a chapter on the excessive executive compensation in terms of stock options as one of the reason for this market crash in the big picture terms. The excessive stock options to executives created a short-term oriented mindset where meeting the quarterly numbers was the only goal. It was acceptable to leverage the balance sheet 30 to 1 or 40 to 1 just to meet or exceed the quarterly numbers and move the stock up so that the executives can cash in the stock options.
The current talk coming out of the congress about the excessive executive compensation and golden parachutes is equivalent to closing the barn door after the horses are gone. The executives have already made billions and billions risking the entire American enterprise!!