Not only do government wage controls not work, they usually backfire. Perhaps worse, like a lot of ill-conceived government schemes, they often punish the wrong people. The Federal Reserve yesterday announced a bank pay limits affecting every bank employee in America in (over)reaction to controversy to big bonuses at a few big banks and insurance companies. On the backfire “front,” the government has tried three times in recent decades to limit executive pay:
Yesterday, the newest White House chief of staff, Jack Lew, took to the Sunday talk shows to get a head start on promoting President Barack Obama’s FY2013 budget, which is set to be released today. But just as he was getting warmed up, Lew ran smack into a brick wall when he was forced to defend the Democrat-controlled Senate’s failure to pass a budget in the last 1,019 days. “You can’t pass a budget in the Senate of the United States without 60 votes, and you can’t get 60 votes …
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