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Well, in most economic models the factors of production are paid their marginal products...
thanks. any books that argue that wall st bonuses are necessary/justified?
If you are looking specifically at Wall Street bonuses, I can't think of anything. However, there's considerable literature on how bonuses better align incentives - the main reason most pay is bonus is in bonuses is because it is taxed differently for that very reason.
This might help?
http://papers.ssrn.com/sol3/papers.cfm?abstract_id=1578066
Optimist: THANK YOU! That was a really helpful! Appreciate it!
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