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Message: [QUOTE="BelgoSuisse, post: 1146176, member: 30299"] yes and no. you have an ideal vision of capitalism where shareholders actually control the companies directly and negociate compensation with its executives to the best of their interest. It does not happen that way for most publicly traded companies. Stock ownership is just too diluted for that to happen. Executive pay is usually decided by a compensation committee. Take General Electric Co. for instance. Link here: [url]http://investing.businessweek.com/research/stocks/people/committees.asp?symbol=GE[/url] if you click on the directors' names, you will see that most of them are actually CEOs of other big companies. Not private stakeholders at all. That means they have a collective interest in inflating executive salaries as their own will be largely aligned to the market price, which they can manipulate through their participation in the compensation committee of other companies. [/QUOTE]