Sunday, May 6, 2007

Wall Street: Optimizing Callousness

While the latest Cringely column has some speculation in it, the analysis of the proposed thesis is a good one. It is a clear indication that businesses are lying to everyone and Wall Street has failed the U.S. worker.

I have had the feeling for a while that the market as it exists today was selecting for the wrong variable. Every time profits soar, but stock prices fall because they didn't soar enough, I wonder. When high tech firms complain of not enough workers, but salary averages stay flat, I wonder. If the story about IBM plays out as Mr. Cringely predicts, I don't know how people will react. The only certainty is that in Big Business today, neither the employees, the product, nor the customers matter. Stock price and perception from an increasingly detached group of economists and business types are all that count. And that can't be good for us in the long run.

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