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...checks can be cashed immediately, but the executives may not sell the stock for up to four years. Also, bonuses are paid in restricted stock, which must be held for at least three years and may be sold only after the firm has repaid what it owes taxpayers. The result is that in most cases, much of what the executives will get paid - in some instances, nearly 95% - will be in long-term stock grants. For the most part, Feinberg has kept cash salaries to $500,000 or less. (See 25 people to blame for the financial crisis...

Author: /time Magazine | Title: Wall Street, Meet Ken Feinberg, the Pay Czar | 11/2/2009 | See Source »

...real problem with Feinberg's scheme may be its reliance on the market. If we have learned anything from the financial crisis, it should be that the market can get things very, very wrong. So paying more people mostly in stock may result not in his stated goal of pay for performance but in pay for randomness. Feinberg is probably correct that his compensation structure won't hurt these firms' ability to retain top talent. Wall Streeters love to let it ride. The question is whether more people hell-bent on boosting their stock price will produce a better outcome...

Author: /time Magazine | Title: Wall Street, Meet Ken Feinberg, the Pay Czar | 11/2/2009 | See Source »

...politically feasible or desirable to remove all benefits, but how about dismantling tax benefits for owners of second homes? In many European countries speculators build tax-subsidized holiday homes, and then rent them out at exorbitant rates while receiving substantial tax relief on their mortgages. The result is to price local people out of the property market while losing agricultural land to so-called residential development, which may well stand empty for more than half the year. Tax benefits for property speculators are costly and regressive and any politician considering ways to save money should give them a long hard...

Author: /time Magazine | Title: A Soldier's Life | 11/2/2009 | See Source »

...considering building a solar-module manufacturing facility in the city to support the project. While financial details were not released, news of the deal caused First Solar's stock to jump 11% on the day of the announcement. "This major commitment to solar power is a direct result of the progressive energy policies being adopted in China to create a sustainable, long-term market for solar and a low-carbon future for China," First Solar CEO Mike Ahearn said in a statement. (See the 10 green energy ideas...

Author: /time Magazine | Title: Tower of Power | 11/2/2009 | See Source »

...fairly simple geopolitical rule: small, poor countries can't afford to be global pariahs. The U.S. finally got Honduras to absorb that fact this week, and the result late Thursday night was a long awaited accord between coup-ousted President Manuel Zelaya and de facto President Roberto Micheletti...

Author: /time Magazine | Title: A Deal Finally Ends Honduras' Coup Crisis | 10/31/2009 | See Source »

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