Pessimism Continues to Snowball as CEOs Doubt the Effectiveness of the President’s Economic Measures
Overall, CEOs were united in their concern about the economy, as a whopping 95 percent rated the current business and employment conditions as bad. This is the highest number of CEOs to indicate such pessimism in the current state of the economy since polling began in October of 2002.
Echoing Donlon’s comments, Dr. Woodruff Imberman of Imberman and DeForest, Inc., said, “There will be a painful period of de-leveraging in the next few years, as has occurred so many times in the past.”
Furthermore, in this month’s additional polling, CEOs did not shy away from voicing resentment toward finance executives responsible for running their companies into the ground. When asked about what they think about Obama’s cap on executive compensation for those companies receiving TARP funds, 53 percent of CEOs said they were in favor of caps on executive pay.
However, despite their favoring executive compensation caps, 45 percent of CEOs polled said the executive pay caps would either have a negative or a significantly negative impact on the performance of those companies receiving TARP Funds, while only 20 percent said they would have a positive or significantly positive impact. Thirty-one percent of CEOs said pay caps would have no impact on companies’ performance.
SOURCE Chief Executive magazine