Asymmetrical Information

CSM Posterior Fact-Checking

Here is the Monitor's Amitai Etzioni in The costs of stonewalling

Little has been heard from the US Chamber of Commerce or The Business Roundtable or The Conference Board. CEOs have been curiously mum. One exception is the chairman of Goldman Sachs, Henry Paulson Jr., who warned that the loss of confidence in business will lead investors to become suspicious of stocks in general.

Mr. Paulson added that a loss of trust in corporate executives is one reason the economic recovery remains sluggish. He suggested a large number of reforms, including requirements that executive officers hold their company stock for "significant periods of time," return gains from sales of company stock made less than a year before bankruptcy, and face restrictions on selling company stock.

But Paulson's voice has been a lonely one; none of his suggested measures seems to have a prayer.

WRONG! Paulson's suggestions were taken from the Business' Roundtable's best practices proposal, as I noted myself after Paulson's speech.