401(k) planscosts vs. pension plans, 102,

574n45deferred, for CEOs, with

insurance/interest paid,45–46

government protection of, 381

AAARP, 524ABB Ltd., 206, 207ABC Carpet & Home, xiAbramson, Jerry, 128Abramson, Leonard, 33, 285,

602n61accountants, 278–282, 601n31Acheson, Sir Donald, 324Ackerman, Bruce, 460, 462Adams, John, 416Adams, Richard, 174Adelphi University, 291, 603n90Adler, Felix, 481Aetna, 33AFL-CIO, 530–531. See also

unionsAgassi, Andre, 305airlines industry, 177, 379,

587n114Akst, Daniel, 524Alarcon, Richard, 545Albeda, Randy, 199, 200, 230,

231Alcoa, 36Aldrich, Nelson, 431Allaire, Paul, 188Allen, Paul, xii–xiii, 226, 302, 403,

468Alm, Richard, viii, 113, 248Alstott, Anne, 460, 462Amazon.com, 36, 69–71, 183,

570n122, 570n125. See alsoBezos, Jeff

American Airlines, 298American Express, 36American Online (AOL), 13–14,

176, 188, 588n166AMF, 178Anderson, Basil, 53Anschutz, Philip, 227AOL (America Online), 13–14,

176, 188, 588n166AOL Time Warner, 176Apple Computer, 15–16, 559n65Appleton, Lynn, 242Applied Magnetics, 562n159Applied Micro Circuits, 47Aramony, William, 540Arbusto Energy Inc., 85Archer, Bill, 451Archibald, Nolan, 43Arizona, election spending in, 395Armey, Dick, 451Arno, Peter, 315Arthur Andersen, 281–282arts, the

attendance statistics, 144education and, 147–149funding, 142–151, 583n76future of, 144–145, 148–151mid-sized organizations,

144–145museum attendance, 141performing artists employ-

ment, 144–145symphony ticket sales, 141Ten Times Rule, effect on,

512–513Artzt, Russell, 25–27, 561n117Aspen effect, 257AT&T, 211Athanasiou, Tom, 362athletes career length, 304–305.

See also sports industryathletes salaries. See also sports

industryaverage, 2001, 304average vs. median, 308income gap, fans vs., 296, 307,

605n70isolation linked to, 306limits to, 299, 487performance/compensation

link, 307–310as tax deduction, 296, 604n48

attorneys, 274–278, 289,487–488, 601n21

Audet, Christopher, 463automobile industry, 250–253,

363–365, 598n71, 613n33average citizens. See families (aver-

age); under democracy inAmerica

BBacon, Sir Francis, xviiiBaechle, Raymond and Carla, 61Bagdikian, Ben, 399Bagehot, Walter, 333Bairoch, Paul, 360Baker, Dean, 233Baker, Laurie, 375Baker, Raymond, 378Baltimore, Maryland, living wage

law, 535–536Balzar, John, 28, 470Bank of America, 33, 39Banks, W. N., 441Barach, Michael, 594n151Barbour, James, 417Barksdale, James and Sally, 127Barnett Banks, 175Barnevik, Percy, 206, 207Barrett, Craig, 63–64, 172–173Bartlett, Bruce, 468Barzun, Jacques, xiv, 554n51Baumol, William, 142Baxter International, 18, 560n81Beattie, Dick, 12Beck, Audrey Jones, 141Becker, Nancy, 70–71Bellamy, Edward, xvi, 426, 549Bellamy, Michael, 549The Bell Curve (Hernstein and

Murray), 352Belle, Albert, 296BellSouth, 61Benabou, Roland, 199benefactors, the greedy as, 93–94.

See also greed; wealth inequityBenioff, Marc, 189Benjamin, Brent, 150Bennis, Phyllis, 542Benson, P. George, 3–5Beresford, Dennis, 11Berlusconi, Silvio, 400Bernhardt, Annette, 105, 106, 458Bernsen, Thordjorn, 363Bernstein, Aaron, 214, 477,

593n93Bernstein, Peter, 221Bertelsmann, 206, 207

639

INDEX

Originally published in Greed and Good: Understanding and Overcoming the Inequality That LimitsOur Lives by Sam Pizzigati (Apex Press/Rowman & Littlefield, 2004). For more, see Inequality.org.

Bertelsmann, Carl, 207Bertrand, Marianne, 82Bezos, Jeff, 69–71, 569n118,

570n135. See also Amazon.comBezruchka, Stephen, 315Biggs, Morton, 221Bijan, xiBill and Melinda Gates

Foundation, 128, 580n6billionaires, ix, 120, 361, 362Bingaman, Jeff, 537Bittker, Boris, 484Black & Decker, 43black Americans. See also discrimi-

nation; slaveryacademic achievement gap,

352–354, 611n89, 611n97,611n100

vs. whiteaccumulated wealth,

354–356, 612n103financial assets, 353–354,

612n103income, 1940-1960, 443

Blackwell, Ron, 530Bloom, Matt, 168, 186, 308Bloomberg, Michael, 388Bluestone, Barry, xxi, 213, 214,

215, 464boards of directors, corporate. See

also corporate America; share-holders

compensation consultants usedby, 28–29, 75–76, 562n135

conflicts of interests in, 28,562n129

control over management,29–31

election procedures, 39–40repricing risks taken by, 34–35shareholders, accountability to,

39–40, 564n200on stock options as compensa-

tion, 10–14union efforts to unseat, 532

boards of directors, nonprofits,290–292

Boatmen’s Bancshares, 175Boesky, Ivan, 93Bok, Derek, 274, 275Bonilla, Bobby, 296Bonior, David, viiiBonsignore, Michael, 174Booth, Melvin D., 557n126Borosage, Robert, 384, 392,

618n82Boswell, Thomas, xiv, 302, 309,

310Boulding, Kenneth, 367Bowen, William, 142Bowles, Erskine, 390bowling alone syndrome, 332Boyce, James, 361Bradsher, Keith, 252

Brandeis, Louis, xix, 170Brazil, 232–233, 375–376, 403,

595n190, 615n93Breeden, Richard C., 48Breslau, Karen, 122Breyer, Stephen, 289–290Bristol-Myers Squibb, 188, 531Britain, 64, 321–324, 326Broad, Eli, 131Brobeck, Stephen, 117Broder, David, 400, 470Bronfman, Edgar, 89Brooke, James, 596n210Brooklyn, New York, housing costs

in, 256Brown, Jeff, 31Brown, Sir Henry Phelps, 482,

483Bruhn, J. G., 320Brundtland, Gro Harlem, 367Brungs, Heinz, 161Bryan, Williams Jennings, 426,

428–429Buffet, Warren

described, 267on estate tax, 626n274on his children’s inheritance,

266philanthropy philosophy of,

128on revenue padding, 589n177on stock options as compensa-

tion, 11Burch, Marc, 369Burkhauser, Richard, 96Burns, James MacGregor, 450Burns, Scott, 118Burtless, Gary, 204, 356Bush (George H. W.) administra-

tion, 448–449Bush (George W.) administration

campaign finance reform legis-lation, 393

Iraq War, 2003, 542, 635n71loans to executives, legislation

prohibiting, 18millionaires in cabinet of, 390,

618n75tax cuts for the wealthy

$1,000,000 income orgreater, 382–383,616n31

$200,000 income andgreater, 616n28

$50-$75,000 income,616n31

Congress, votes approvingin, 626n276

estate tax, 382richest 1%, 415, 620n6tax-free investment

income, 477tax plan 2001, 452–455

Bush, George W.

campaign pledges, 452, 460connections role in success of,

84–87election spending, 384, 429estate tax effect on, 391fundraising success, 385

Bussmann, W. Van, 251Byron, Christopher, 222

CCalifornia. See also specific cities

arts funding, tax cuts affecting,146

charitable giving in, 135Code for Corporate

Responsibility, 545–546commuting times in, 257–258election spending in, 388housing costs, 121–122,

255–256, 579n181–182Kerala compared to, 372–373public goods and services

funding in, 348uninsured statistics, 121universities vs. prisons built in,

1980-2000, 357wealth inequity in, 120–122

California Teachers’ RetirementSystem, 633n20

Callinicos, Alex, 58, 495CalPERS (California Public

Employees’ Retirement System),39, 633n20

Caminer, David, 173Canada, health care in, 327Cappellas, Michael, 167Cappelli, Peter, 54Caraway, Hattie, 437CareFirst, 540Carnegie, Andrew, 129, 266, 424Carnegie Hall, 140Carroll, Sidney, 482, 483, 484Carter, Gary, 296Carter, Jimmy, 62, 133, 446Case, Steve, 13–14, 188, 563n184Casper, Barry, 392Castle, John K., 58–59, 254Cawley, Charles, 45Cello Technologies, 174Cendant, 34Central Maine Power, 181–182CEOs. See also boards of directors;

corporate America; perform-ance/compensation link, CEOs;specific individuals

of colleges/universities, 291consultants used by, 28–29,

31, 75–76, 87, 562n135control (sense of ) felt by, 57,

323foreign vs. U.S., 63–64, 75,

205–208, 235post-WWII, characteristics of,

xx

Greed and Good640

Ten Times Rule, effect on,504–506, 514–515, 631n1

CEOs, income. See also specificindividuals

1980s-2000, xxiii–xxiv, 217,563n179

caps proposed for, 37, 48–49,61, 571n161. see also incomecaps propsals

company size-compensationlink, 170–182

competitive benchmarking indetermining, 30–31

at corporate health careempires, 285

corporate profits vs., 10,14–15

deferred (401k) with insur-ance/interest paid, 45–46

foreign vs. U.S. executives,63–66, 173, 568n79,569n88

limits placed onfor airline bailout funds,

380, 615n6benchmark compensation

caps, 542government compensation

limits, 635n71by IRS, 486, 540–541,

629n22by public officials, 486shareholder resolutions for,

531–532in nonprofit sector, 290–292,

539–541, 634n67reform efforts, 36–40, 61,

531–534shareholder profit vs., 15stock options in lieu of, 15–16as tax deduction, 37, 539

CEOs, income additional to salarybonuses, 21, 30, 37, 43,

562n140, 563n179, 603n85business school education,

570n154financial planning services, 45golden parachute, 33,

562n154–155life insurance premiums, 46lifetime annuities, 77loans for stock purchases, 18,

560n88long-term compensation, 44perks, 45–46personal assistants, 45stock grants, 31–32, 562n147stock options

1970s, 9–101980s, 7–101990s, 10–14, 563n1792000 stock market crash,

effect on, 43Bonus Unit awards,

558n20Computer Associates

example, 25–28,561n117

critics of, 11–12gains, 1999, 42–43,

564nn214–215reforms, 16–18, 560n74reloadable, 36

stock repricing, 34–35CEOs, income statistics. See also

specific individuals1980s-1990s, 37, 38, 558n2,

559n591980s vs.1990s, 362000-2004, 41–43, 44,

564n205, 564n226public disclosure requirement,

564n200school superintendents vs.,

60–61U.S. Presidents vs., 60–62

CEOs, wealth of. See also specificindividuals

connections role in, 84–87corruption tied to, 227–228downsizing as source of,

180–182fraudulent accounting practices

in, 187–191, 285, 588n166,589n177

luck as contributor to, 81–83for media executives, 399PayWatch Web site monitor-

ing, 530–531power factor in, 90public opinion on, 533support staff role in, 87talent shortage affecting, 14,

29–31, 51–52, 73–75,570n148, 570n153,571n158–159

tax dollars funding, 534–536CFOs (corporate financial offi-

cers), salary, 280Chambers, John, xxiv, 43Chambless, Jerry, 53Chandler, Asa, 590n25Chang, Chee Jen, 315charitable giving. See philanthropyChase Manhattan Bank, 180Chasin, Barbara, 374Chemical Bank, 180Cheney, Dick, 131, 385, 391Chesterton, G. K., 347children

arts education for, 147–150black, academic achievement

gap in, 352–354, 611n89,611n97, 611n100

child care costs, 576n100education for poor, 213,

335–336, 459–461, 464,593n93, 609n31, 609n33,

627n7, 627n11health care for, 350latchkey, 247, 332in Norway, 350poverty rates, 336–337preschooler education,

461–462children of the wealthy

Baby Boomers, 572n214black vs. white, 354–355, 356economic mobility of, 458inherited wealth, 88–90, 260,

263, 266, 514, 599n130parental worries regarding, 265Ten Times Rule, effect on, 514in the workplace, 265–266,

290Chiles, Eddie, 85China, bowling in, 178Chirac, Jacques, 359, 360Christian, Jeff, 52Chrysler, 9, 63Churchill, Brent, 181–182Cisco Systems, 11, 43, 164, 227,

564n214Citigroup, 45, 64, 227Clean Money campaign, 395Clear Channel Communications,

176–177, 587n109Clendenin, John L., 61Cleveland, Grover, 427, 428Cleveland Browns, 302–303Clikeman, Paul, 280Clinton (Bill) administration, 37,

382, 537–538, 616n24Clinton, Bill (William Jefferson),

vii, 97, 297, 385, 390CNET, Inc., 84Coca-Cola, 565n230Cochrane, Peter, 211Coffman, Vance, 542Cohen, Randy, 405–406Coleman, 55–56Collins, Chuck, 451, 464Collins, Jim, 192Collins, Robert, 444Collison, David, 24Colombia, South America, 372,

614n68Colton, Charles, xviiiColvin, Geoffrey, 168Comcast, 81–82Comerica Inc., 20community, alleigence to corpora-

tions vs., 403community as stakeholder, 25,

511–512, 561n104community involvement,

246–247, 331–333. See also rela-tionships; society

Compaq Computer, 13, 167Computer Associates, 25–27, 532,

561n117Conley, Dalton, 353

Index 641

Connecticut, corporate reformefforts, 537

Connif, Richard, 244Conseco, 18consumer exploitation. See also

corporate Americaairlines industry, 177,

587n114automobile industry, 251–252financial services industry, 175,

380, 615n10sports industry, 298–300telecommunications industry,

176–177, 300–301, 380,587n109, 615n9

Continental, 177Contreras, Miguel, 357Conwell, Russell, 264Cook, Philip, 287Cook, Wade, 222Cooke, Jack Kent, 261Coolidge, Calvin, 151, 435CoreStates, 175corporate America. See also boards

of directors, corporate; CEOs;consumer exploitation; employ-ees; shareholders; taxes on corpo-rations

auditing of, 280–282as community, allegience of

wealthy to, 403“A Corp” status proposal, 537debt offset/reduction schemes,

228–229discrimination practices-gov-

ernment contracts link,633n38

European corporations vs.,202–204, 206–207

health care empires of, 285history of, 423, 544investment capital, sources for,

223–226, 517–520market wisdom distortions,

19–23, 560n95,560nn98–102

mergers and acquisitions in,171–178, 180–182, 193,429–430, 586nn77–78

operating capital, sources of,24, 228–229, 595n177

political influence, 379–380,382, 393–396, 428–429,615n6, 616n23, 618n82

raiders restructuring of, 7–8,33

research and developmentinvestment, 210–212, 214,520

success in, 23–25, 65,561n104

telecom phenomenon,226–228

corporate America, fraudulentaccounting practices

Enron collapse, 281, 531HMOs, 285revenue padding, 9, 17,

560n74, 588n166, 589n177stock repricing, 35tax fraud, 187–191

corporate America, InformationAge

bureaucracy as obstacle,161–163, 586n64

characteristics of, 170, 179,191–193, 588n166,589n177

deregulation/mergers andacquisitions in, 171–178,180–182, 193

gain-sharing plans, 168–170requirements for, 586n71small firms success in, 170workforce downsizing in,

179–182corporate America, profitability in

CEO pay gains vs., 14–15the ecology of commerce,

359–360, 367–372, 374,612n4

low-wage workers in,113–115, 342–343

stock options and, 9, 17,560n74

stock repricing, 35corporate America, reforming for

pay equity. See also income capspropsals

citizens movement, 544–545legislative proposals, 536–538,

540–541, 545–546living wage law, 535–536pay equity ratio requirements

in government contracts,535

revoking corporate charters asmeans of, 544–546

union efforts, 529–534Cort, John, 235Corzine, Jon, 390, 404, 619n132Costa Rica, 328, 403Costas, Bob, 301–302Cottey, Alan, 488Coulter, David, 33, 562n155Cox, W. Michael, viii, 100, 113,

248Cravath, Swaine & Moore, 275,

289Crawford, Anthony, 355Crèvecoeur, Michel Guillaume

Jean de, 420crime and wealth inequity,

231–233Crisman, Craig, 562n159Crittenden, Ann, 261Crowe, James, 227Crystal, Graef, comments

Andy Grove’s compensation,64–65

CEOs on boards of directors,28

compensation consultants, 29greed in CEOs, 36, 90income as motivator, 565n1income as power dynamic, 90income related to company

size, 170Jack Welch’s compensation

package, 71, 570n139obscene pay levels, 482stock grants, 32supply-and-demand for CEOs,

571n158–159Csikszentmihalyi, Michaly, 523CSX, 46Cullen, Mark, 318Curley, John J., 399Currall, Steven, 166Curry, Eddy, 306CVS, 564n217

DDaimler-Benz, 63Daisey, Mike, 183Daly, Herman, 365–367, 368,

377, 525, 614n62Daly, Martin, 231Daly, Sharon, 109–110Daniels, Norman, 329–330Danone, 206Daschle, Thomas A., 394Dauten, Dale, 182Davis, Edward, 289Davis, Kenneth, 415Davis, Marvin, 268Davis, William, 139Davos, 205Deavers, Ken, 96Debs, Eugene Victor, 430, 432deca-millionaires, ixDeFazio, Peter, 616n21Delevett, Peter, 241Dell, Michael, 46Dell Computer, 46Deloitte & Touche, 282de Loyola Brandao, Ignacio, 232Deming, W. Edwards, 168,

585n51, 587n125democracy and inequality

basic difficulties of, 400–401citizenship undermined by,

402, 620n157loss of community as result of,

403democracy in America. See also

United States; United States gov-ernment

campaign finance reform as,392–396, 618nn97–99

civil rights movement as, 443corporate influence on,

379–380, 382, 393–396,428–429, 615n6, 616n23,618n82

Greed and Good642

free press vital to, 399–400,619n126

pay discrepancies endangeringquality of justice, 289–290

Social Security privatization,398–399

wealth inequity as threat to,400–402

democracy in America, citizens(average)

elected representatives respon-siveness to, 381–382, 406,617nn55–56

importance to, 384, 404–405,618n82

participation in politicalprocess, 384–385, 396–397,406–407, 430

political perspective of vs.wealthy, 386–387,617nn55–56

voting by, 406–407, 429,620n157

democracy in America, elected rep-resentatives

campaign fundraising/spend-ing, 383–385, 388–389,392–396, 429, 618n82,619n132

corporate contributions, 382,616n23

millionaires among, 387–388,618n75

responsiveness to voters,379–383, 406, 617nn55–56

wealth, desire for, 386, 617n53wealth-gap not addressed by,

392democracy in America, history

1892 presidential race, 4281896 presidential race,

428–4291904 Congressional elections,

4301910 Congressional elections,

430Federalists party, 418Jeffersonian party, 418, 421Peoples/Populist Party,

426–428democracy in America, wealth as

threat tohistorically, xv, xix, 547laissez-faire doctrine and, 417,

425by media control, 399–400political climate altered,

396–399, 403–406by political contributions,

384–385, 388–389,393–396, 428–429,617nn55–56

positions of importance heldby wealthy, 390–391

Supreme Court ruling of 1895

influenced, 427–428Denmark, welfare state in,

338–339Department of Defense (DoD)

schools, 461Depression years, 436–438de Vogel, Willem F. P., 26DeVos, Dick, 397Diamandopoulos, Peter, 291,

603n90discrimination. See also black

Americans; equal opportunitycivil rights movement and, 443government contracts and,

535, 633n38Ten Times Rule, effect on,

516–517Title IX funding and, 536wealth inequity and, 351–353

Disney. See Walt DisneyDoerr, John, 223Dole, Bob, xivDole, Elizabeth, 384Dole, Robert, 385Domenici, Pete, 476–477Donahue, John, 405–406Donahue, Tom, 472Dost, Valesca, xiiDouglass, Katie Herbert, 482Dovai, Karl, 502–503Dowie, Mark, 405Dow Jones effect, 19–20Downs, Alan, 181downsizing of employees. See also

layoffs of employees1980-1993, 1041990s, 179–180, 584n152001-2002, 181air traffic controllers, 217,

593n113Deming on inevitability of,

587n125forced rankings in, 72,

570n144IRS staff, 616n25layoffs vs., 179–180management vs., 584n15outsourcing as method of, 104results of, 181–182, 588n139U.S. vs. Europe, 591n55Washington Post pressmen,

593n113Draper, Timothy, 397Drexler, Millard, 38, 563n184Dreyfuss, Robert, 390, 401Drucker, Peter, 162–163, 182,

533, 584n19D’Souza, Dinesh, 88, 241, 550duckpin bowlers, 178–179Duke, Doris, 261Duke, James Buchanan, xvDunea, George, 284Dunlap, Albert J.

admiration for, 52, 565nn6–7,566n8

corporate practices, 52–56,566n11, 566n23

fraudulent practices of, 53,567n46, 567n49

wealth, importance to,566n20, 566nn23–24

Dunlop, M. H., 262, 264Dunphy, T. J. Dermot, 22Dupont Chemical, 169Durlauf, Steven N., 593n93Durning, Alan, 239, 362, 370,

526Duten, Dale, 597n31

EEarls, Gregory, 187Earned Income Tax Credit,

341–342, 610n62Eastman Kodak, 18Easton, George, 584n9Eaton, Robert, 97eBay, 221Ebbers, Bernard, 48, 180–181,

225economic growth. See also produc-

tivity1860s-1900 (Industrial Age),

201as benefit of wealth inequity,

197–201, 444–445, 590n9defined, 200, 368demand for goods and services

in, 215–216environmental unsustainability

and, 367–372, 374full employment vs. inflation,

1970s, 625n234increasing, methods of,

592nn74–75in Japan, 596n216New Growth economists on,

212economic growth theory. See also

wealth inequityequality-efficiency conflict in,

198, 590n9, 590n17Kuznets, 197–198, 590n9Wall Street model, 208–210,

215, 218, 230wealth distribution in,

196–197Economic Policy Institute, xxi, 110Ecuador, equality and democracy

in, 403Edelman, Marian Wright, 334,

336education

academic achievement gap ofblack students, 352–354,611n89, 611n97, 611n100

civic role of public, 459–460,627n7, 627n11

college graduates, hourlywages, 463, 627n28

college students, enrollment,

Index 643

1945-1970Department of Defense (DoD)

schools, 461equal opportunity from,

459–463, 627n7government funding for,

212–213, 303, 381,461–462, 627n23

income link to achievement,353–354

for poor children, 213,335–336, 459–460, 464,593n93, 609n31, 609n33,627n7, 627n11

for preschoolers, 461–462,627n23

school voucher system,396–398

student loan debt, 277teachers, inadequate pay for,

287–288, 603nn70–72Ten Times Rule, effect on, 520Title IX funding and, 536universities vs. prisons built,

1980-2000, 357egalitarianism

Danish welfare reform failure,338–339

in European business, 66,202–208

Europeans admiration of inearly U.S., 420

in Japan, 233–235literature on, xviin Norway, 350–351United States belief in, histori-

cally, 416–421, 620n7Ehrenreich, Barbara, 243Einstein, Albert, 80Eisenhower, Dwight D., 442Eisner, Michael, 13, 67–69, 126,

177, 569n111, 579n209Eliot, Samuel, 129Elliott, Robert, 265Ellison, Larry, 13, 44, 189–190,

269Elmendorf, Steve, 385Ely, Leonard, 131Emanuel, Ezekiel, 329employee benefits

401(k) planscosts vs. pension plans,

102, 574n45deferred, for CEOs, 45–46government protection of,

381death benefits, 107employer expenditures, 1973

vs. 1992, 574n36health insurance, 100–101,

106–107retirement

1979 vs. 1998, changes to,101

corporate revenue state-ments and, 189

defined-contribution plans,101–102

Enron losses of, 633n20government protection of,

381revenue padding, effect on,

589n177at Wal-Mart, 107

for temporary/part-time work-ers, 105

employee empowermentbureaucracy as obstacle,

586n64at Hewlett-Packard, 164–165at Intel, 163, 165management belief in, 167,

179, 584nn11–13the mantra of, 159–161Ten Times Rule, effect on,

505–506, 514–517employees. See also downsizing of

employees; income inequity; lay-offs of employees; wages; work-place

anger in, 191child care costs for, 576n100commuting times of, 257–258equality for, U.S. vs. Europe,

202–208exploitation of

clean room workers, 58ergonomics legislation, 380excessive work hours,

181–182, 588n139immigrant labor, 113–115

job security, 202, 233,587n124, 596n210

jobs redefined, 1960s vs.1990s, 104

performance rewards, effective-ness of

Deming on, 585n51gain-sharing plans for,

168–170management belief in,

167–168motivation in, 585n44negative results, 168,

193–194, 585n48proof of, 585n45puzzle players example,

184public sector, 288–290retail, 105–108, 214service sector, 214temporary/part-time, 105,

114, 575n63Ten Times Rule, effect on, 524theft by, 191turnover, costs of, 185–186wages and benefits, U.S. world

ranking, 1995, 204

Enrico, Roger, 409Enron collapse

accounting firms participatingin fraud, 277, 281–282, 531

corporate/political leaders,effect on, 208

executive compensation affect-ed by, 47

pension funds, losses, 633n20pension funds safety, effects

on, 381shareholder voting practices

affected by, 531–532stock analysts, conflicts of

interests and the, 22, 23tax evasion and, 190–191

Ensign, John, 390environmental advocacy, 363environmental degradation

benefits to participants in,361–362

damage statistics, globally, 360by disinvestment in public

services, 348–349the ecology of commerce,

359–360, 612n4economic growth/development

choice in, 367–372, 374economic policy supporting

global, 376–377industrial production rates,

367Sao Paolo, Brazil, 375–376sustainable alternatives

(Kerala), 372–375, 376–377,615n95

Ten Times Rule, effect on,525–526

U.S., consumption/waste in,363–364, 366–367, 614n41

environmental protection legisla-tion, 365, 371

environmental sustainability,377–378, 525–526, 614n62

Epstein, Gene, 493Epstein, Helen, 323, 326Epstein, Lisa, 161Equality and Efficiency (Okun),

198equal opportunity. See also discrim-

inationasset building movement,

460–462, 627n11barriers to, 462–463education’s role in, 459–463,

627n7, 627n11the poor and, 458–459sabbath economics, 466–467Title IX funding for, 536

Ernst & Young, 282ESPN, 309Esrey, William, xxiv, 557n124estate tax

1861, Civil War levy, 422

Greed and Good644

1898, Spanish-American War-time levy, 429

1916 tax act, 4331917, War Revenue Act, 4331935, Wealth Tax Act, 439Buffet on, 626n274Bush (GW) administration,

382, 391, 453Carnegie on, 425Clinton administration,

451–452Gates Sr. on, 80–81, 404politicians against repeal of,

404Rockefeller affected by 1935

Act, 624n196Roosevelt (Theodore) proposal

for, xviiTen Times Rule, effect on,

513–514eToys, 225, 594n155Etzioni, Amitai, 246–247Europe. See also specific countries

CEOs, vs. U.S., 205–207employee equality, vs. U.S.,

202–208incarceration rates, 231murder rates, 231shareholder vs. stakeholder

position, 24voting rates, 620n157

executives. See CEOs

Ffamilies (average). See also middle

class; taxes on average families;the poor; the wealthy

in California, 121–122happiness of, 239–242,

246–247political perspective of vs.

wealthy, 386–387,617nn55–56

reference group comparisons,241–243

families (average), economics of.See also taxes on average families

consumer debt, 117, 122, 218consumption pressures, 218,

242–245, 248–250,509–510

housing costs, 121–122,255–257, 579n181

New Deal effect on, 438–439families (average), exploitation as

consumersairlines industry, 177,

587n114financial services industry, 175,

380, 615n10sports industry, 298–300telecommunications industry,

176–177, 300–301, 380,587n109, 615n9

families (average), financial assets1998 vs. 2001, 578n162home ownership, 115–117,

255–256, 578n146retirement savings, 102–103stock market investments,

118–119, 222, 573nn12–13,578n153

families (average), income. See alsotaxes on average families

1920s, 435–4361939-1945, 4411970s-2000, 121median

1980 vs. 2000, 981990s, 450, 579n187

families (average), lifestyle1920s, 435–436community involvement,

331–333leisure time available, 243,

247, 332, 509–510, 597n31,597n49, 597n53

workweek hours, 99, 243–244,597n28

Fang, Jing, 315Fannie Lou Hamer standard, 394Feingold, Russell, 393, 395Feinstein, Diane, 388Feldstein, Martin, viiiFidelity effect, 20–21Filene, Edward, 471Filo, David, 20Financial Accounting Standards

Board, 11, 35, 560n74Fiorina, Carly, 166–167Fireman, Paul, 10–11firing of employees. See downsizing

of employeesFirst Union, 175Fisher, George, 18Fitzgerald, F. Scott, 261Fitzhugh, George, 418–419Flanigan, James, 531Fleishmann, Ernest, 141Florida Marlins, 309flower industry takeover, 519–520Flynn, John T., 624n204Forbes, Malcolm, xiiForbes, Steve, 129–130Forbes magazine list of 400, ix–x,

470, 554n23Ford Motor Co., 21, 25Forstmann, Theodore, 396–398Foster, John Bellamy, 367France

child poverty rates, 336downsizing statistics, 591n55incarceration rates, 231income caps, public support

for, 528murder rates, 231unemployment compensation,

590n27

union membership in, 203Frank, Robert, on

the Aspen effect, 257effects of income on career

choice, 287happiness from well-main-

tained public commons,610n66

income equality, 524, 525luxury fever, 241material possessions and happi-

ness, 245middle class purchasing, 248model feature creep, 254opportunities for progress,

195–196progressive consumption tax,

474–477, 629n73self-interest vs. community

well-being, 486wealth and satisfaction, 239

Franke, Richard, 374Frankfurter, George, 24Franklin, Benjamin, xviiiFrazier, Owsley Brown, 127Frick, Henry Clay, 428friendships. See community

involvement; relationshipsFromstein, Mitchell, 267Frumkin, Peter, 292Fuente, David, 57Fujimori, Alberto, 402Fuller, Millard, 259futility thesis of social change,

489–493

GGalbraith, James, 336, 338, 341,

455, 625n234Galbraith, John Kenneth, 435, 477Galli, Joseph, 36Galvin, Christopher, 73Galvin, Paul V., 570n151Gandhi, Mahatma, xviiiGans, Curtis, 406–407The Gap, 38Gates, Bill. See also Microsoft

about, 78–79art collection of, 139–140charitable giving of, 128, 356wealth of

vs. all African Americanscombined, 356,612n116

growth rate, ix,553nn19–20

progressive tax rates and,468

Gates, Bill Sr., 80–81, 404, 451Geffen, David, 127General Electric, 46, 71–73, 174,

570n139General Mills, 47Genuine Progress Index, 370. See

Index 645

also quality of lifeGeorge, Henry, xvi–xvii, 424, 426,

429Germany

CEO income, vs. U.S., 63downsizing statistics, 591n55employee wages and benefits,

204, 590n27mergers and acquisitions in,

586n88pay gaps, executive-employee,

66productivity vs. U.S., 214union membership in, 203work year length vs. U.S., 99

Gerstner, Lou, 58, 563n184Getty, J. Paul, 141, 261–262, 489Getty, J. Paul III, 261Gibson Greeting, 12Gilded Age (1870-98)

described by Twain, 422isolation of the wealthy during,

262philanthropy in, 129politics influenced by wealth

in, xv, xix, 547social justice crusades, 481,

502Gilded Age (1990s), 126, 262,

264, 306The Gilded Age (Twain), 422Gillespie, Ed, 384Gingrich, Newt, 450Glassman, James, 130, 221Global Crossing, 188Goizueta, Roberto, 565n230Golbart, Stephen, 263golden parachute, 33,

562n154–155Goldin, Claudia, xxGoldman Sachs, 178, 254Goldstein, Rob, 150Goodman, Ellen, 24goods and services. See also pro-

ductivityproduction and distribution of,

365–366wages and demand linked,

215–216, 219goods and services, demand for

publicenvironmental degradation

link to, 348–349happiness and, 610n66lacking in unequal society,

345–351, 534September 11, 2001, attacks,

357–358Ten Times Rule, effect on,

512–513Goodwin, Fred, 64Google, 83Goolsbee, Austan, 494Gordon, David, 162

Gordon, Edmund, 352Gore, Al, 384, 429, 460Gorin, Stephen, 327The Gospel of Wealth (Carnegie),

424Gould, Jay, xvGraff, Steffi, 305Grassi, Anthony, 504–505greed. See also benefactors, the

greedy as; wealth inequitybasic ideas supporting need for,

4–5, 557n1benefits from, 93–94employee, 191as incentive, 5, 564n223research as captive of, 211–212

Greed: The Series (television), xivGreeley, Andrew, 452Greenberg, Stan, 264Greens/Green Party program, 546Greenspan, Alan, 87–88, 464Greider, William, xxiv, 391Grier, Peter, 249Grieve, Paddy, 222Griffey, Ken Jr., 296Grove, Andy, 64–65, 165, 172Grubman, Jack, 227Guatemala, equality and democra-

cy in, 403Guerrand-Hermes, Mathias, xiiGunther, Robert, 468

HHacker, Andrew, 130, 489–490,

493Haft, Herbert, 259, 599n130Hall, Peter, 128, 129Hall, Steven, 73Hall, Uriel, 427Hamilton, Alexander, 418, 621n15Hammer, Armand, 261Hamptons, housing costs in, 256,

599n109Hanna, Mark, 383, 384, 428happiness

1975 vs. 1999, 246components of, 524–525desire for wealth and, 241–246friendships/community and,

246–247, 260–262, 331,369

material possessions and,244–246, 248–250,262–263, 369

public services and, 610n66reference group comparisons,

241–242satisfaction factor in, 238–239wealth as causative, 237–239,

258–259Harken Energy, 85Harlan, John, 427Harrigan, Sean, 39Harrington, James, 620n7

Harrison, Benjamin, 428Harrison, Bennett, 213, 214, 215,

464Harrison James, xiHart, Peter, 537Harvard Business School, 74Hasan, Malik, 285Hassett, Janet and Christopher,

346–347Hastert, J. Dennis, 379Haughey, John, S.J., 260Hawken, Paul, 359–360Hawkes, Albert, 441Hayes, Rich, 371health

psychosocial dimension of,319–320, 325–328

tax dollars spent on, 608n107in U.S. vs. other industrialized

nations, 316–317, 326–327,606n10, 607n40

Whitehall study (Britain),321–322

health, links to goodincome/wealth, 311–318,

606n12, 606n16, 606n23social cohesion, 319–320,

325–328social status, 321–326,

607n63, 608n77health care

for children in Texas, 350for-profit corporations, 285government funding for, 381HMOs, 285Medicare/Medicaid, 283,

335–336U.S. vs. other industrialized

nations, 283, 350health care industry’s government

influence, 382health care reform, 284, 602n58Heard, Jamie, 46Hearst, William Randolph, 439Heckman, James, 458Heineman, Fred, 385Heinz, H. J., 47Hernes, Gudmund, 350Hernstein, Richard, 352Herodotus, 237Hewlett, Bill, 164Hewlett-Packard, 163–164,

166–167Hickey, Dave, 150Hightower, Jim, 90Hilbert, Stephen, 18, 259Hilfiger, Tommy, 220Hill, Michael, 301Hilton, Rick and Kathy, 357Hilzenrath, David, 278HIP, 540Hiraide, Shoji, 234Hirschman, Albert, 489Hirshhorn, Joseph, x, 554n25

Greed and Good646

Hochschild, Adam, 375Hockmeyer, Wayne T., 557n126Hodges, Luther, 444–445Home Depot, 253home ownership. See also housing

costsblack vs. white, 353–354, 356by middle class, 97, 115–117,

255–256Ten Times Rule, effect on,

506–509homes of the wealthy

castles, xGilded Age, xvlandscaping costs, xiNeo-Fortress Movement, 357,

612n126prices of, x–xisafe rooms, 230servants for, xiii, 554n49square footage, 255–256Ten Times Rule, effect on,

506–509Honeywell, 174Hoover, Herbert, 437Houghton, Amory, 389housing costs. See also home own-

ership; homes of the wealthyCalifornia, 121–122, 255–256,

579nn181–182for middle class, 115–117,

255–256national averages, 255in poverty calculations, 109Ten Times Rule, effect on,

506–509for the wealthy, x–xi

Houston Astros, 298, 302Houston Museum of Fine Art, 141Howard, Cynthia, 286Howard, Milford, xixHoward, Richard, 187Howells, William Dean, xviHow Rich Is Too Rich? (Carroll and

Inhaber), 484Hubbard, Frank McKinney, 237Huffington, Michael, 388Huizenga, H. Wayne, 268,

309–310Hunt, H. L., 470Huston, James, comments on

American belief in egalitarian-ism, 419, 455

American belief in monopoly,425

industrialization in America,621n38

supply-and-demand for CEOs,571n158–159

those who counted in earlyAmerica, 420

wealth distribution, historical-ly, xviii, 197, 416, 417

IIacocca, Lee, 9IBM, 58, 78–79, 189, 211Idealab, 225, 594n155immigrants, 113–115, 317, 336,

607n40, 610n35incentive

greed as, 5, 564n223income alone as, 558n2,

565n1reasonable and appropriate,

5–6striving for a better life, 3–4,

557n1incentives for leaving, CEOs

accelerated vesting, 32–33golden parachute, 33,

562nn154–155incentives for performance. See also

CEOs, income additional tosalary; performance/compensa-tion link

Bonus Unit awards, 558n20CEO incentive-setting system,

28stock ownership, 17–18,

560n79, 560n81income caps, proposals. See also

corporate America, reforming forpay equity; Ten Times Rule

for athletes, 487for attorneys, 487benchmark compensation caps,

542disincentives for creating,

492–493for executives, xxvi, 37, 48–49,

61, 540–541, 546, 571n161public support for, 527–528social acceptance of, 488–489

income caps, proposals byAdler, 481Flynn, 624n204Keating, 433Long, 437–438Mazzocchi, 546McClellan, 571n161Menendez, 541Roosevelt (FDR), xxvi, 415,

440–441, 481, 620n5income distribution patterns,

482–485income equity ratios. See also

income caps proposals; TenTimes Rule

twenty times, 77–78,162–163, 546, 584n19

Income Equity Act legislation,538–539, 634n57

twenty-five times, 634n57100 times, soldiers vs. CEOs,

542U.S. vs. other industrialized

nations, 65–66, 203

income inequity. See also wealthinequity

academic achievement link to,353–354

athletes vs. fans, 296, 307,605n70

CEOs vs. soldiers, 542entry-level professionals affect-

ed by, 286–290health, correlation to,

313–318, 320–321, 326,327–330

murder rates relationship to,231–232

school superintendents vs.CEO, 60–61

U.S. vs. other industrializednations, 63–66, 204

voting rates correlated to, 407,620n157

income inequity, executive-employee

1960s, 661980s-2000, xxiii–xxiv, 66,

569n95Drucker on, 162–163, 584n19examples of, 125–126in gain-sharing plans, 169McDonough on increases in,

479–480morality in, 66–67, 480nonprofit sector, 291–292results of, 163, 165–166,

183–186, 192–193in stock options, 13–14,

164–165, 183U.S. vs. other industrialized

nations, 65–66, 234income inequity reform. See also

income caps proposalscitizens movement, 544–545importance of, 549–552legislative proposals, 536–538,

540–541, 545–546living wage law, 535–536pay equity ratio requirements

in government contracts,535

revoking corporate charters asmeans of, 544–546

union efforts, 529–534income tax

history, 547post-WWII, 442–443, 471,

624n223progressive structure for,

467–472reforms of 1890s, 425–428Roosevelt (Theodore) on,

430–431income tax legislation

16th constitutional amend-ment, 431–432

1861, Civil War levy, 422

Index 647

1864, Civil War levy, 422as 1894 tariff bill amendment,

4271916 tax act, 4331917 War Revenue Act, 4331926 Revenue Act, 628n561932 Revenue Act, 4371935 income tax, 439–4401935 Wealth Tax Act, 4391942 Revenue Act, 441, 4421981 Economic Recovery Tax

Act, 4471981 Revenue Act, 4331985 Supreme Court ruling,

427–4281986 Tax Reform Act, 4481988 Revenue Act, 4331997 Taxpayer Relief Act, 451Kemp-Roth initiative,

446–447Rockefeller affected by 1935

Act, 624n196Unlimited Savings Allowance

Tax Act bill, 476–477Victory Tax, 441

independent sector. See nonprofitsector

index funds, 19–20Index of Social Health, 370. See

also quality of lifeInfinity Broadcasting, 587n109infrastructure

commons maintenance,345–351, 357–358, 610n66

elimination of firehouses, post9/11, 358, 612n129

U.S. government investmentin, 213–214, 381–382, 520

Inhaber, Herbert, 482, 483, 484Institute for Policy Studies, 182insurance, medical, 100–101,

106–107, 121, 574n38. See alsoemployee benefits

IntelCEO compensation, 64–65employee empowerment at,

163, 165executive pay, 2000, 42–43Late List, 165mergers and acquisitions,

172–173stock options at, 9

Internet commerce, 73, 225–226,594n151, 594n155. See alsoAmazon.com

investment capital, sources for,223–225, 517–520, 594n151,594n155

Iraq War, 2003, 542, 635n71Ironite, 161IRS

audits of poor vs. rich, 382,616n26

capital flight controls,

495–498history, 422limits to executive compensa-

tion, 486, 540–541, 629n22staff cuts, 616n25

Isenberg, David, 211Ishi, Hiromitsu, 234Italy, media ownership in, 400Ivins, Molly, vii, 468

JJackson, Andrew, 419, 621n23Jackson, Tim, 165Jack: Straight from the Gut (Welch),

72Japan

CEO income, vs. U.S., 63–66,569n88

crime in, 231, 232–233,595n185

economic growth, 596n216health in, 314, 316–317,

607n40incarceration rates, 231job security in, 233, 596n210mergers and acquisitions in,

586n88pay ratios, executive-employee,

65–66shareholder vs. stakeholder

position, 24stock/real estate collapse, 233wealth distribution, 233–235,

595n199work year length vs. U.S., 99

Jarrell, Sherry, 584n9Jasinowski, Jerry, 100Jefferson, Thomas, 417Jehlen, Alain, 354Jencks, Christopher, 313Jenkins, Holman W. Jr., 290jeopardy thesis of social change,

499–500Jesus, xviiiJiacomin, Danielle, 570n153Jobs, Steve, 15–16, 559n65job security. See unemploymentJoe Millionaire (television), xivJohnson, David Cay, 191Johnson, Lyndon B., 333, 445Johnson, W. R., 47Johnson & Johnson, 531Jones, Charles H., 427Jones, Jesse H., 141Jordan, Michael, 304Jordan, Vernon E. Jr., 84Josephson, Michael, 482J. Paul Getty Museum, 141judges, 289–290

KKagann, Stephen, 113Kalla, Susan, 227–228Kane, Eugene, 335

Kaplan, George, 313, 327Kapur, Akash, 372Kasich, John, 380, 384Kaus, Mickey, 468Kavanagh, David, 258Kawachi, Ichiro, 313–314,

329–330Kay, Ira, 14, 42Kay, John, 64, 160Kay Manufacturing, 170Kazin, Michael, 428, 429Keating, Edward, 433Kellcher, Herb, 173Kelly, Marcy, 39Kelly, Marjorie, 24, 545Kemp, Jack, 446–447, 451, 477Kennedy, Bruce, 313–314,

329–330Kennedy, Edward, 453Kennedy, John F., 444–445Kennedy, John Pendleton, 420Kenny, Shirley Strum, 28Keough, Keith, 335Kerala, India, 372–377, 614n68,

615n95Kerrey, Bob, 460Kersh, Russell, 53Keynes, John Maynard, 215Kimberly-Clark, 53, 566nn23–24Kimel, Martin, 289Kimsey, James, 14King, Willford Isbel, 432Kinsley, Michael, 254Kirsch, Steve, 127–128Klein, Ethel, 537Kleiner Perkins Caufield & Byers,

518Klepper, Michael, 468Klinger, Scott, 532Knight, Christopher, 147Knight, Phil, 392Koenig, Louis, 428–429Kohn, Alfie, 194Koizumi, Junichiro, 234, 235Koogle, Timothy, 563n184Koors, Jan, 32Korten, David, 366Kozlowski, L. Dennis, 47, 173KPMG, 281, 282Kraft, Alexander, xKravis, Henry, 174Kroc, Joan, 127Krugman, Paul, xxi, 281, 407Kucinich, Dennis, 203Kumar, Sanjay, 25–27, 561n117Kuttner, Robert, 405–406, 459Kuznets, Simon, 197, 556n101

LLa Follette, Robert, 437–438LaGuardia, Fiorello, 438Lake, Celinda, 386Lamoureux, Patricia Ann, 467Lane, Robert, 240, 246, 247, 319

Greed and Good648

Lang, Eugene, 266Larcker, David, 90Lardner, James, 315, 334Laski, Harold, 185, 401Lawler, Edward, 160, 161, 168,

170, 584n12, 586n64lawyers. See under professionalslayoffs of employees. See also

downsizing of employeesairline employees, 379downsizing vs., 179–180post-9/11 attack, 379U.S. vs. European restrictions,

202, 591n31layoffs of employees at

Amazon.com, 70–71BellSouth, 61Cisco Systems, 227Hewlett-Packard, 166–167Kimberly-Clark, 54Nortel, 227Scott Paper, 52–54, 566n29Sunbeam, 54, 566n35Washington Post, 593n113

Lazar, Edward, 193Lazard Freres & Co., 84Lebowitz, Fran, 269Ledebur, Larry, 199Ledecky, Jonathan, 140Lee, William, 584n11Leggett, William, 419Leno, Jay, xivLerman, Robert, 113Lerner, Alfred, 28Lesar, David, 542Level 3 Communications, 227Levin, Carl, 394Levin, Gerald, 30, 562n140Levin, Jerry, 55–56, 563n184Levitt, Arthur Jr., 281Lewis, John, 393Lewis, Michael, 67, 174, 264, 346Licklider, J. C. R., 523Liebling, A. J., 398–399life, quality of. See happiness; qual-

ity of lifelife, quantity of, 525Lillak, Dale, 266Lily-Tulip, 52Linfante, Kristen, 145Linux software, 522–523Lipman, Samuel, 141Lippman, Walter, 445Lloyd, Henry Demarest, 425Lodge, Henry Cabot, 432Lofton, Thomas, 291Long, Huey P., 437–439Looking Backward (Bellamy), xvi,

426, 549Lorsch, Jay, 185Los Angeles Lakers, 604n19lottery payoff amounts, ixLowenstein, Louis, 229Lucent Technologies, 43, 188

Lucky, Robert, 211Luxury Fever (Frank), 474Lynch, John, 327Lynch, Lorenzo, 299Lynch, Peter, 133Lyons, Max, 96

MMadison, James, 418, 457, 481Magma Copper, 584n13Maine, election spending, 395Malone, John, 226Mancuso, Frank, 562n161Marcos, Ferdinand and Imelda,

362Marcus, George, 128, 129Marcus, Stanley, 262Marks, Mitchell, 180Marmor, Ted, 329Marmot, Michael, 321–322, 323,

328Marshall Industries, 169Martinez, Arthur, 35Marx, Karl, 196Maryland, revoking corporate

charters, 544–545Maslow, Abraham, 168, 245material possessions

conspicuous consumption of,474–478, 629n73, 629n76

creating artificial need, 369happiness and, 244–246,

248–250, 262–263, 369social pressure felt by families,

218, 242–245, 248–250,344–345, 509–510

Ten Times Rule, effect on con-sumption standard, 509–510

maximum wage history. See alsoincome caps proposals; TenTimes Rule

Mays, L. Lowry, 176–177Mazzocchi, Tony, 546MBNA, 28, 45McAuliffe, Terry, 384McCain, John, 393, 395McCain-Feingold, 393–395McClellan, Bill, 76, 481, 571n161McColl, Hugh, 39McConnell, Mitch, 618n97McDonough, William J., 479–480McGill, William, 523McGinn, Richard, 43McGuire, Mark, 304McGurn, Patrick, 47MCI, 48–49. See also WorldComMCI Center, 298, 299McIntyre, Robert, 453, 476McKibben, Bill, 364, 367, 374McKinley, William, 428–429McNamee, Stephen, 88McPherson, Michael, 213Meany, George, 442media

changes in news reporting,619n126

free press and democratic tra-dition, 399–400

middle class depicted by the,242

wealthy depicted by the, 242media, influence on

consumer spending, 242desire for wealth, xivsports industry, 300–301, 309

MedImmune Inc., xxiv, 557n126Mellon, Andrew, 136–137, 435,

623n158Menendez, Robert, 541Merrill Lynch, 222Mesa, Armida, 58Messier, Jean-Marie, 206, 207Metropolitan Museum, 139Mexico, 361, 402Meyerson, Harold, 121MFS Communications, 174MGM (Metro-Goldwyn-Mayer

Inc.), 34, 562n161Michalos, Alex, 270Microsoft, 11, 57, 78–79, 567n53,

571n174. See also Gates, BillMiddelhoff, Thomas, 206, 207middle class. See also families (aver-

age); taxes on the middle class;the poor; the wealthy

black Americans as, 351–353,612n103

consumer debt of, 244defined, xxi, 385economic mobility of, 458,

460, 464emergence/decline of, xx,

xxi–xxii, 97, 348,555nn99–100, 556n101

in Europe, 203, 338–339exploitation as consumers,

241–245, 251–252, 364,598n71, 613n33

full employment vs. inflationin 1970s, 625n234

happiness of, 244–246housing costs, 255–257, 358,

506–509, 599n109in Japan, 233lifestyle, 121–125, 300, 358media depiction of, 242reference group comparisons,

241–243Ten Times Rule, effect on,

506–510the wealthy, beliefs regarding,

264–265middle class, financial assets

1998-2001, drop in, xxi–xxii.see also taxes on the middleclass

black vs. white, 353–354,612n103

Index 649

home ownership, 97net worth, 1992-2001, 119stock market investments, 97,

117–119, 573nn12–13middle class, income of the. See

also taxes on the middle class1947(post-WWII) -1973, xx1947(post-WWII) -1997,

579n2031960s vs. 1990s, 1241970s-2000, 121, 556n130after tax losses, 1970s,

557n130gains

1947-1973, 1251979-2000, 113

median, annual, 1980 vs.2000, 98, 113

physicians vs., 284, 602n63wage-earners/family, 99,

243–244Milken, Michael, 12, 57, 567n54Miller, Ellen, 382Miller, George, 454, 455Miller, Heidi, 18Miller, Matthew, 75Miller, Mike, 464Miller, Robert Jr., 88millionaires

in 1800s, 422, 4231919 vs. 1929, 436as cabinet officers, 390in California, 120in Congress, 387–388globally, 2001, 362growth rate, ix, 120, 253,

553n11public opinion on, 528on the Supreme Court, 391taxation of, 433

Milloy, Courtland, 356Mills, D. Quinn, 225minimum wage. See also Ten Times

Rule1950s-1960s, 216–2171968 vs. 2001, 217, 3431980s-1990s, 2172003, 490cost of living vs., 110–111,

593n111history of the, xx, 480incentives for increasing,

484–485, 499living wage law (Baltimore),

535–536Ministry of Money, 260Minor, Halsey, 84Minow, Nell, 40, 42, 52Modell, Art, 302, 303, 307Mogil, Chris, 260Mohn, Reinhard, 207Mondale, Walter, 448Money, Meaning and Choices

Institute, 260

Mongiovi, Gary, 229Monks, Robert A. G., 38,

563n189Moore, Gordon, 165Moore, Stephen, 115More than Money, 260Morgan, J. Pierpont, 77–78, 139,

533Morgan Stanley Dean Witter, 36Morgenson, Gretchen, 227–228Morgenthau, Henry, 366, 476Morocco, 372, 614n68Morrill, Justin, 422Morris, Charles, 12Morrison, Bob, 149Morrissey, Rick, 306Motorola, 20, 73, 570n151Mott, David M., 557n126Mullainathan, Sendhil, 82murder rates

income inequity and, 231–232social status and, 325for women, Europe, 595n185

Murdoch, Rupert, 304Murray, Charles, 352Murray, Robert, 434, 435Museum of Modern Art, 139Myers, Ched, 466–467My First Days in the White House

(Long), 438Myths of Rich and Poor (Cox and

Alm), 100, 248

NNacchio, Joseph, 227Nader, Ralph, 516Nakao, Annie, 353Nasser, Jacques, 21, 25NationsBank, 33, 175Naylor, Bart, 530Neiman Marcus retail, 262–263Netscape Communications,

220–221Newbold, Frank, xiNewTithing Web site, 133Newton, Sir Isaac, 80New York (state), election spend-

ing, 389New York, New York, 256, 258,

315, 349, 536, 607n28New York Yankees, 296, 307Nicolosi, Richard, 53Nitec, 567n49Nixon, Richard M., 62nonprofit sector. See also philan-

thropyCEO pay in, 290–292,

537–539, 539–541, 634n67funding by tax dollars,

142–143, 146, 150,539–541, 583n76

political influence of, 405–406Ten Times Rule, effect on,

512–513

Nordin, Jennifer, 378Norris, George, 437–438Norway, equality of goods and

services in, 349–351Novak, Robert, 264Novell, 82Noyce, Bob, 163, 165Nunn, Sam, 476–477

OObey, David, 448Odendahl, Teresa, 135Office Depot, 57Okun, Arthur, 198Oliver, Melvin, 354Olson, Floyd B., 437–438O’Neill, Paul, 391Oracle, 13, 44, 189–190, 221O’Reilly, Charles, 185outsourcing of employees, 104Overholder, Geneva, 552The Overworked American (Schor),

243Ovitz, Michael, 67–68, 569n108

PPackard, Dave, 164Packwood, Bob, 386, 617n53Page, Benjamin, 458Page, Scott, 14Pagliocchini, Lisa and Steve, 123,

125Palaima, Thomas, xviiPalast, Greg, 115Palter, Peggy, 35Paraguay, equality and democracy

in, 403Parenti, Michael, 89Parsons, Frank, 428pay. See wagesPearlstein, Steven, 49Pechman, Joseph, 468, 628n50Peirce, Neal, 303Peltzman, Sam, 348Peltzman’s Law, 348Pelz, Michael, 518Pen, Jan, 482Peninsula Hotel, Hong Kong, xiiPen parade analysis of income dis-

tribution patterns, 482–483pentamillionaires, 253, 598n79PepsiCo, 11performance/compensation link.

See also incentivefor athletes, 305, 307–310effectiveness for employees

Deming on, 585n51gain-sharing plans for,

168–170management belief in,

167–168motivation in, 585n44negative results, 168,

193–194, 585n48

Greed and Good650

proof of, 585n45puzzle players example,

184for risk, 57–58

performance/compensation link,CEOs. See also incentive

1980s, 7–102000 crash, effect on, 40–44boards of directors as factor in,

28–31bonuses not requiring, 21, 30,

562n140Computer Associates example,

25–28, 561n117Fidelity effect on, 19–20post-WWII-1970s, 6–7reform of WorldCom system,

48stock analysts effect on, 21–23,

560n95, 560nn98–102stock options

1970s, 9–101980s, 7–101990s, 10–14Bonus Unit awards,

558n20Computer Associates

example, 25–28,561n117

reforms, 16–18, 560n74stock ownership requirement,

17–18, 560n79, 560n81performance/compensation link,

CEOs lacking performanceCarly Fiorina, HP, 166–167David Rickey, Applied Micro

Circuits, 47European CEOs, 206–207George Shaheen, Webvan,

76–77Gerald Levin, Time Warner, 30insuring against, 33Jack Welch, General Electric,

570n139James Crowe, Level 3

Communications, 227Jeff Bezos, Amazon, 70–71,

570n122, 570n125John Ward, Russell Corp.,

562n145Joseph Nacchio, Qwest, 227Larry Ellison, Oracle, 44L. Dennis Kozlowski, Tyco

International, 173Michael Bonsignore,

Honeywell, 174Philip Anschutz, Qwest, 227Richard Adams, Cello

Technologies, 174Solomon Trujillo, Qwest, 178Stephen Sanger, General Mills,

47–48Steve Jobs, Apple Computer,

559n65

William Smithburg, QuakerOats, 174

W.R. Johnson, H.J. Heinz, 47Perkins, Frances, 440Perot, H. Ross, 449Perotti, Roberto, 593n93Peru, elections in, 402perversity thesis of social change,

493–499Petersen, Donald E., 13Peyrelevade, Jean, 206Pfeiffer, Eckhard, 13, 136philanthropy. See also nonprofit

sector; under the wealthyby Boston Brahmins, 128–129NewTithing Web site calcula-

tor, 133poor as recipients of, 135–136,

581n65purpose of, 129statistics

1960s, 1301970 vs. 1999, 581n661990s, 130, 134, 136,

580n27, 581n652000, 133–134as percentage of income,

130–131Ten Times Rule, effect on,

508–509, 512–513, 519,631n6

the wealthy andgiving by, 130–131,

133–136untapped capacity of,

132–134Philip Morris, 35Phillips, Kevin, 418, 423, 431,

442, 443, 448Phillips Collection, 140physicians, 282–286, 602n58,

602n63. See also health carePierce, Gregory, 66Pinchot, Amos, 433Plutarch, xviiplutocracy. See also the wealthy

1870-98 (Gilded Age), xv1896 presidential race, a win

for the, 4281950s, xv1990s-2000, xv, 383, 404–405concerns regarding, 434, 445by default of average citizen,

407demise and resurgence of,

xiv–xvpoliticians opposing, xvi–xviiPopulist crusade against, xix,

428PNC Financial, 564n217Pollans, Albert, 282the poor. See also taxes on the

poor; working poorin California, 121

education for children of, 213,335–336, 459–461, 464,593n93, 609n31, 609n33,627n7, 627n11

environmental degradation by,361–362

immigrants as, 113–115, 336,610n35

philanthropy as benefit to,135–136, 581n65

poor, beliefs about held byeconomists, 111–113journalists, 264lawmakers, 344politicians, 447, 458the wealthy, 263–264, 333,

338poor, incomes of the. See also taxes

on the poor1960s vs. 1990s, 1241977 vs. 1999, 556n1301989-1999, California, 1212001, 119after taxes, 342poorest 20%, 112–113,

124–125, 342, 628n34poorest 25%, 119poorest 5%, 557n130poorest 90%, 557n131post-WWII, xx

poor, socioeconomic elementsanti-hunger campaign,

343–345budget calculations, minimum

needs, 109–110equal opportunity lacking,

458–459food bank usage, 111Food Stamps for, 336health care, 283, 335–336leveling up strategy for social

justice, 457–459lifestyle, Gilded Age, xvi, 262material possessions and well-

being of, 245shelter request increases, 111social pressures faced by,

344–345, 509–510Poppendieck, Janet, 343–345Populist Party, xixpoverty

defined, 108–109, 576n94,576n96

equality-efficiency conflict foreradicating, 198

health linked to, 311–312,324–325

in Japan, 233leveling down strategy for alle-

viatingfutility thesis of, 489–493jeopardy thesis of,

499–500perversity thesis of,

Index 651

493–499progressive consumption

tax, 474–478, 629n73,629n76

progressive taxation,467–472

sabbath economics,466–467

wealth tax, 472–474,628n68

murder rates relationship to,231–232

official guidelines for, 109–110the war against, 333–334

poverty line, 216–217, 334,576n110. See also working poor

Prada, xiThe Present Distribution of Wealth

in the United States (Spahr), 428Pressler, Margaret Webb, 244Priceline, 18, 188, 221PricewaterhouseCoopers, 253,

279, 282productivity. See also economic

growth; goods and servicesequality as contributor to, 233increases, 435, 592n77increasing, methods of,

200–201, 212–215, 593n93,593n97

Japanese enterprises, 233research and development

investment and, 210–212,214

security spending vs., 230–231speculative trading vs.,

228–229, 595n177U.S. vs. European rates of, 214wages relationship to, 214–215

professionals. See also specific profes-sions, e.g. attorneys

characteristics of, 292–293effect of unequal rewards on

entry-level, 286–290salary gaps, results of, 289–290satisfaction of, factors in,

273–274success defined by, 273–274trust as vital to, 274, 282–283

Progress and Poverty (George), xviProgressive Party, xix–xxProthrow-Stith, Deborah,

313–314psychosocial dimension of health,

326–328public sector, reform efforts by

unions and, 534Pulitzer, Joseph, 426Putnam, Robert, 247, 331–332

QQuaker Oats, 174Qualcomm, 221quality of life. See also happiness

Kerala, India, 372–375,376–377, 614n68

measurement indexes, 370Ten Times Rule, effect on,

524–525Quinn, Michelle, 270, 346Qwest Communications, 178,

227–228

RRaber, Roger, 28racism, 351–353, 611n93,

611n95. See also blackAmericans; discrimination

raiders restructuring of corporateAmerica, 7–8, 33

Raines, Franklin, 390Rainwater, Richard, 85–86Rakoff, Jed, 48, 486Ran, Thomas, 564n217Randolph, Joseph Fitz, 419Raskin, Jamin, 384Raskob, John J., 436Ratner, Sidney, 429Rawls, John, 339–340Raytheon, 279RCN Corporation, 17, 226,

560n74Reagan (Ronald), presidency of,

217, 447–448, 541, 625n240Rector, Robert, 112Reebok, 10–11Reed, Bruce, 130Rees, William, 363Rehnquist, William, 289, 391Reich, Robert, 217, 450, 473,

493, 537–538Reingold, Jennifer, 585n45relationships. See also community

involvementgood health linked to,

319–320, 325–326happiness from, 246–247,

260–262, 331, 369of the wealthy, 260–262, 267,

306, 346Rendell, Ed, 111Rennert, Ira, xRevlon, 12Ricardo, David, 196Rickey, David, 47Riley, Richard, 148Ritz-Carlton Downtown, 346RJR Nabisco, 174road rage, 258Roberts, Brian, 82Roberts, Ralph, 81–82Robertson, Julian, 222Robertson, Pat, 442Robinson, Jackie, 296Robinson, John, 597n31Roche, James, 125, 579n209Rockefeller, David, 139Rockefeller, John D., ix, 81, 129,

430, 624n196Rockefeller Foundation, 129Rodin, Rob, 169Rodriguez, Alex, 296, 305, 308,

309, 605n77Rogers, James, 266Rogers, Joel, 537Rohr, James, 564n217Rooney, Mickey, 95Roosevelt, Franklin D., 61

income cap proposal, xxvi,415–416, 440–441, 481,620n5

New Deal, 436–439tax increases for the wealthy,

440, 624n196Roosevelt, Theodore, xvii, 430,

432Rosen, Irwin, 263Rosenberg, Claude, 132–134Rosenberg family foundation, 132Roseto, Pennsylvania, 319–320Ross, Steve, 10, 12, 558n20Rossiter, Caleb, 389Roth, William, 446–447Rove, Karl, 390, 618n75Rowe, Jonathan, 369Royal Bank of Scotland, 64Rubin, Robert, 390Rumsfeld, Donald, 391Ruppik, Erich, 207Rushin, Steve, 306Russell Corp., 562n145Russia, child poverty rates in, 336,

337Ryscave, Paul, 216

Ssabbath economics, 466–467Sabo, Martin, 537–538, 634n57Salk, Jonas, xxivSalomon, 227Salzer, Myra, 263Samuelson, Robert, 205, 487Sanders, Bernie, 454Sanford, Charles S. Jr., 489San Francisco (Calif.) housing

costs, 255–256Sanger, Stephen, 47San Jose (Calif.) commuting time,

257–258Sapolsky, R. M., 323–324Saraiva, Ellen, 232Sarbanes, Paul, 282Sarbanes-Oxley Act, 47, 565n247Scanlon, Joseph, 168–169Schacht, Henry, 217Schapiro, Morton Owen, 213Scheiber, Anne, 259–260Schervish, Paul, 267–268Schlesinger, Arthur, 439Schmidt, Eric, 82–84Schmidt, Ted, 218Schor, Juliet, 242, 243, 245,

Greed and Good652

248–249, 597n31Schrempp, Jurgen, 63Schumacher, E. F., 370Schwarz, Benjamin, 627n23scientific management, 159Scoones, Eric, 64Scott, Richard, 285Scott, Samuel, 73Scott Paper, 52–54, 566n13,

566n29Scripps. E. W., 433Seagate Technology, 32Sears, 35Seattle Mariners, 309, 605n77Sedgwick, Theodore, 419Selig, Bud, 307Seligman, Ben, 435Sen, Amartya, 231, 372, 407September 11, 2001, attacks

airlines industry bailout,379–380, 615n6

commemoration ceremony,479–480

elimination of firehouses fol-lowing, 358, 612n129

workforce layoffs after, 379Seward, William, 419Shaheen, George, 76–77,

571n164, 571n168Shanahan, John, 179Shapiro, Leonard, 305Shapiro, Thomas, 354shareholder activists, 38, 531–532,

563n189shareholders. See also corporate

America; stock ownershipCEO income increases vs.

profits of, 14–15market wisdom of individual

investors, 19power of management over,

39–40, 531–532, 564n200pre-eminence of, 24–25,

561n104stakeholders vs. in importance,

24–28, 561n104, 561n117takeover industry affecting

wealth of, 33, 54–56,566n35

voting practices, 633n26Shaw, Eric, 191Shaw, George Bernard, 267, 271Sheen, Charlie, 269Shellenberger, Lynn, 481Sherman, John, 420, 427Sherraden, Michael, 460, 461Shi, Leiyu, 318Shields, Mark, 392Shriver, Sargent, 334Shugart, Al, 32Sifry, Micah, 382Silber, John, 291, 603n85Silverman, Henry, 34Simon, Neil, 270–271

Simon, William, 12Sims, Jane, 107Singletary, Michelle, xivSkadden, Arps, Slate, Meagher &

Flom, 275Skilling, Jeff, 22Sklar, Holly, 118, 407, 543Slater, Philip, 261, 262, 270slavery, 419, 421, 621n25. See also

racismSlavin, Robert, 461Slim, Carlos, 402Sloan, Allan, 46, 73Sloan Kettering Cancer Center,

291Slywotzky, Adrian, 229Smeeding, Timothy, 204, 356Smith, Adam, 467–468Smith, George Davey, 326Smith, Goldwin, 422Smith, Logan Pearsall, 270Smith, Roy C., 8, 82, 287, 558n2Smith, Tim, 38Smithburg, William, 174Snapple, 174Snow, John, 46Snow, Tony, 521Soare, Anastasia, 268social capital, 247, 331–332. See

also community involvement;relationships

social cohesion, link to goodhealth, 319–320, 325–326. Seealso community involvement;relationships

social justice. See also Ten TimesRule

economic justice in, 529–534leveling down for leveling up

strategyfor education funding,

462, 627n23historical belief in,

457–459, 481natural range of inequality,

484leveling down strategy for

wealth distributionfutility thesis of, 489–493jeopardy thesis of,

499–500of Native Americans, xviiperversity thesis of,

493–499progressive consumption

tax, 474–478, 629n73,629n76

progressive taxation,467–472

sabbath economics,466–467

wealth tax, 472–474,628n68

leveling up strategy for educa-

tion funding, 461–462Social Security

black vs. white history, 356FICA payroll tax increases, 448general public vs. wealthy on,

387, 617n56history, xx, 439taxation of benefits, 448,

625n246society. See also community

involvementcohesive, 247, 331–332commons maintained in

healthy, 345–351, 357–358,610n66

Kerala, India, as example ofequality in, 372–377

social/moral obligation incivic role of public educa-

tion, 459–460, 627n7,627n11

employee safety nets,201–202

food for all in America,343–345, 610n35

living wage law, 535–536self-interest vs. community

well-being, 485–488welfare reform, 334–336,

342–343social status and

health, 321–326, 607n63,608n77

material possessions,248–250

murder rates, 325Sonnenfeld, Jeffrey, 171Sooy, Richard, 390Sorenson, Georgia, 450Soros, George, 404, 593n123Sosa, Sammy, 304, 306South Beach (New York) infant

mortality in, 315, 607n28Southwest Airlines, 173, 587n124Spahr, Charles B., 428Spinner, Percell, 299Spitzer, Eliot, 545Spock, Mr., 126sports industry. See also athletes;

athletes salaries1960s vs. 1990s, 297–298media effect on, 300–301, 309pay gaps, athletes-average fan,

296sports industry fans. See also ath-

letesanger in, 302attendance statistics, 301, 307,

309–310costs increasing for, 298–299,

301–302, 604n19declining importance of,

297–301Fan Cost Index, 299

Index 653

income gap, athletes vs., 296pay gaps, athletes-average fan,

296sports industry finances

Fan Cost Index, 299franchise revenue/value, 296,

307owner profits, 301, 302–303,

307–308owner salaries, 296revenue, annual, 295–296revenue gaps, 307stadium costs, 298, 309–310,

403tax breaks/deductions, 296taxes subsidizing, 302–303,

403television broadcast costs,

300–301ticket costs, 298–300, 604n19

Sprague, O. M. W., 433, 623n136Sprint, 11, 35, 36, 180–181Sreenivasan, Sreenath, 212The Stakeholder Society (Ackerman

and Alstott), 460, 462Starfield, Barbara, 329Stauber, John, 619n126Staw, Barry, 161Steinbrenner, George, 296, 301Steinmo, Sven, 471Stevens, Rick, 257Stevenson, Howard, 482Stewart, Jill, 131Stewart, William, 233St. Louis Art Museum, 150,

583n76St. Louis Municipal Opera,

583n78stock grants, 31–32, 562n147Stockman, David, 447–448stock market. See also Wall Street

Dow Jones effect on, 19–20Fidelity effect on, 20–21manipulation through IPOs,

223–226, 594n151,594n155

speculative trading, 228–229,595n177

telecommunications industrycorruption and the, 226–228

stock market analysts, conflicts ofinterests, 21–23, 560n95,560n98–102

Stock Market Primer (Rosenberg),132

stock optionsBonus Unit awards, 558n20as compensation. see also

CEOs, income additional tosalary

critics of, 16–17restrictive nature of, 165supporters of, 10–11

corporate earnings statements

and, 17, 560n74in lieu of salary, 15–16management-employee gaps,

13–14, 164–165, 183taxation of, 9, 558n29for telecom executives, 228

stock ownership. See also share-holders

1980s-1995, 573n131983-2000, 573n12by middle class, 97, 117–119,

578n153stock repricing, 34–36success

in corporate America, 23–25,65, 561n104

defined, 23–25, 65, 273–274individual vs. shared achieve-

ment in, 65–66, 79–80, 87leveling up strategy, 463social roots of, 80–81

Sudden Money Institute, 260Sugar, Ronald, 542Sullivan, Donald, 30Sullivan, Ken, 233Summers, Lawrence, 224, 613n38Sumner, William Graham, 424Sunbeam, 54–55, 566n35,

567n37, 567n47Swartz, Mark, 280, 602n36Sweden, 231, 314, 336Sweeney, John, 183Switzerland, taxation in, 472Sykes, John, 148–149

TTabb, William, 349Taft, William Howard, 431Tawney, R. H., 255, 273, 292tax deductions

charitable organizations,508–509, 539, 634n60

corporations, 37, 303, 539insurance premiums for death

benefits, 107sports industry, 296, 604n8

tax dollars fundingBill Gates, early computer

research, 79CEO wealth, 534–539George W. Bush, Arlington

Ballpark, 86insurance company liability

safety net, 380nonprofit organizations,

142–143, 146, 150,539–541, 583n76, 634n60

Paul Allen, Seahawk Stadium,302, 403

public goods and services,348–349

sports industry, 302–303taxes. See also estate tax; income

tax

avoidance strategies, 343, 443,468, 494–498, 500–502

capital flight option, 495–498Earned Income Tax Credit,

341–342environmental, 359–360income averaging for,

507–508, 631nn4–5IRS audits, 382, 616n26Share-Our-Wealth movement,

437–439taxes, historical

1790 excise tax on distilledliquor, 418

1861 Civil War levy, 4221864, Civil War levy, 4221873, post-Civil War, 4221917 War Revenue Act, 4331920- (post-WWI) decreases

for the wealthy, 435,623n158, 623n167

1932 Revenue Act, 4371942 Revenue Act, 4411948 Revenue Act, 442post-WWI, 435, 623n158,

623n167post-WWI decreases for the

wealthy, 435, 623n158,623n167

post-WWII, 527war-time profits, 433, 440,

542, 623n136taxes on

401(k) plans, 45–46, 102bonds, state/municipal,

500–502capital gains, 343, 446, 448,

451, 625n250, 625n260net worth, 472–474, 628n68oil and gas production,

469–470, 628n56property, xvi, 150, 472savings, personal, 476–477stock market gains, 343stock options, 9, 558n29

taxes on average familiesBush (GW) administration,

382, 452–455FICA tax increases, 448IRS audits, 382Reagan administration,

446–448sports industry subsidized by,

302Ten Times Rule, effect on,

491, 520–521Victory Tax, 441

taxes on corporations1981 Economic Recovery Tax

Act, 447corporate welfare subsidies,

342, 380–381“A Corp” status proposal, 537deductions, 37, 303, 539

Greed and Good654

environmental, 359–360fraudulent accounting for,

187–191, 531, 588n166,589n177

fraudulent reporting of profits,190–191

oil depletion allowance loop-hole, 469–470, 628n56

public opinion on, 381stock options, 9, 558n29

taxes on the middle classBush administration, 382–383IRS audits, 616n26Reagan administration, 449Ten Times Rule, effect on,

484–485, 491taxes on the poor

1790 excise tax on distilledliquor, 418

under Bush administration,453, 616n28

IRS audits, 382Ten Times Rule, effect on,

484–485, 491taxes on the wealthy. See also estate

tax; Ten Times RuleBush (GHW) administration,

449Bush (GW) administration

$1,000,000 income orgreater, 382–383,616n31

$200,000 income andgreater, 616n28

$50-$75,000 income,616n31

congressional votes approv-ing, 626n276

estate tax, 382richest 1%, 415, 620n6tax plan 2001, 452–455

Clinton administration, 382,449–450, 451–452,625n253, 625n260

decreasesBush (GW) administra-

tion, 382–383, 415,452–455, 616n28,616n31, 620n6,626n276

Clinton administration,451–452, 625n260

Economic Recovery TaxAct, 1981, 447

Kennedy administration,444–445, 624n230

Reagan administration,446–448

Tax Reform Act, 1986,448

increasesBush (GHW) administra-

tion increases, 449Clinton administration,

382, 449–450, 616n24,625n253

public opinion on, 528Victory Tax, 441

IRS audits, 616n26Kennedy administration,

444–445, 624n230progressive consumption tax,

474–478, 629n73, 629n76public opinion on, 632n6,

632n8, 632n10Reagan administration,

446–448richest 1%, 620n6Rockefeller affected by 1935

Act, 624n196tax calculations using the Ten

Times Rule, 484–485,490–492

U.S. vs. Europe, 591n53taxes on the working poor,

341–342, 610n62tax fraud, 187–191, 588n166,

589n177tax loopholes, 469–470, 628n56tax rates

calculating using the TenTimes Rule, 484–485,490–492

for public goods and services,350

rich vs. poor, 382–383on the wealthy, xx, 203, 470,

471–474tax structure for social justice. See

also Ten Times Ruleprogressive consumption tax,

474–478, 629n73, 629n76progressive taxation, 467–472wealth tax, 472–474, 628n68

Taylor, Frederick Winslow, 159Taylorism, 159Teach for America, 287Teixeira, Ruy, 384, 392, 618n82Telecommunications Act, 176telecommunications industry,

176–177, 226–228, 300–301,380

Ten Times Rule. See also incomecaps propsals; social justice

concept, xxvi–xxviiGreens/Green Party proposal,

546history of, 502–503income caps and taxation rates

using the, 490–493, 631n49,631n51

IRS revenue, increases from,490–492

minimum wage as basis for,484–485

tax rate calculations using the,484–485

union negotiating for, possibil-

ity of, 532–534Ten Times Rule, effect on

charitable giving, 508–509,512–513, 519, 631n6

education, 520employee empowerment,

505–506, 514–516employment, 500–502, 510environment, 525–526executives, 504–506, 514–515,

631n1families

housing, 506–509latchkey children, 511–512leisure time, 510–511tax reductions/income

increases, 520–521income averaging, 631nn4–5individuals

happiness of, 524–525personal fulfillment,

504–514talented, 505–506

infrastructure, 500–502innovation/invention/motiva-

tion, 520–524, 525public goods and services/com-

munity, 512–513Texas, 135, 350Texas Rangers, 85–86, 309The Gap, 38Thomas, Frank, 305Thomas, Michael, 356, 535Thompson, Bob, 269–270Thompson, Tommy, 335three-times rule, 109Thurow, Lester, xxv, 252, 401TIAA-CREF, 39Tiger Management, 222Tilly, Chris, 199, 200, 230, 231Time Warner, 30, 176, 562n140Tisch, Larry, 267Title IX funding, 536Todd, Richard, xxvii, 264, 333total quality management,

160–161, 584n9Tovalds, Linus, 522–523Townsend, Washington, 422Trinity Yachts, xiiTrujillo, Solomon, 178Truman, Harry, 442Trumka, Richard, 531Trump, Donald, 473Trump International Hotel &

Towers, 346–347Tuck School of Business, 74Turner, Ted, 174, 176, 404Turner, Trevor, 265Twain, Mark, 422twenty-five times pay ratios,

538–539, 634n57twenty times pay ratios, 77–78,

162–163, 533, 584n19Twitchell, James, 250

Index 655

Tyco International, 173, 279, 280,602n36

Tyson, Don, 564n229Tyson, Laura D’Andrea, viiiTyson Foods, 564n229

UUeberroth, Peter, 85–86Umetani, Kenji, 234unemployment

1990s, 971997-2000, 104defined, 591n50recipiency rates, 590n28U.S. vs. other industrialized

nations, 205, 233, 234unemployment compensation,

205, 590n27Unhealthy Societies (Wilkinson),

313unions

1950s-1960s, 2161980s-1990s, 217contributions to elected repre-

sentatives, 382, 616n23history, xx, 430, 546membership statistics, 534reforms for pay equity, role in,

529–534strikers

1919 Red Scare, 434–4351995 World Series, 297permanently replaced, 217,

593n113U.S. vs. European restrictions,

202–203wages/demand/productivity

and, 216, 464United for a Fair Economy, 89,

182United States. See also democracy

in Americaconsumption/waste produc-

tion, 366–367crime in, 231, 595n185prison population, 230, 231,

357, 373, 595n180security spending, 230–231,

595n182United States government

control of free press, 619n126Department of Defense (DoD)

schools, 461education, investment in,

212–213, 303, 381,461–462, 627n23

infrastructure, investment in,213–214, 381–382, 520

United States government regula-tions

compensation limitations forCEOs, 542, 635n71

contract requirements imposedfor corporate reform,

534–536, 633n38health care systems, 284,

602n58war-time profits limitation,

542, 635n71welfare reform, 334–336, 338,

342–343, 609n27United States history

McCarthyism, 443national banks, 418–419,

621n17New Deal, 438–439Red Scare, 434–435, 443–444

United States warsCivil War, 421–423Cold War, 444–445Spanish-American War, 429WWI, 432–434WWII, 440

United Way, 540UPS, 190Uruguay, equality and democracy

in, 403USHealthCare, 33U.S. Technologies, 187US West, 177–179UUNet Technologies, 174

VVanderbilt, Cornelius, xvVanderbilt, George, xvVanderbilt, William, xv, 423Varone, Antonio, 550Vasdev, Shawn, 231Vaughn, Mo, 67, 69Veneman, Ann, 390Venezuela, commons supported in,

350VHI Save The Music Foundation,

148–149Vilas, Carlos, 402–403, 406Vinson & Elkins, 276–277Virginia (Fairfax County), 123,

135, 579n188Vivendi Universal, 206, 207Vogel, Ezra, 234Volker, Paul, 289von Hoffman, Nicholas, 136, 262von Mises, Ludwig, 96

WWachtell, Lipton, Rosen & Katz,

275Wackernagel, Mathis, 363Wade, Robert, 357wages. See also CEOs, income;

minimum wagedemand for goods and services

relationship to, 215–216,219

gain-sharing plans and,169–170

happiness linked with increasesin, 525

productivity relationship to,214–216

U.S. vs. other industrializednations, 204, 234

wages, hourly1970s-2000s, 99, 463,

574n25, 575n56for college graduates, 463,

627n28growth of vs. inflation,

556n119temps vs. full-time workers,

105unions effect on, 216at Wal-Mart, 575n80, 576n89welfare reform legislation and,

342–343, 609n27wages, weekly

1915, 4321939-1945, 441, 624n2171973 vs. 2001, 99, 574n29,

575n56Wallis, Jim, xviiiWall Street. See also stock market

1929 crash, 4361980s-2000s (boom), 220–2222000-2002 crash, 40–44,

222–223, 564n199market wisdom distortions,

19–23raiders restructuring of corpo-

rate America, 7–8, 33share prices

factors in 1990s boom, 16,559n66

investor losses, 2000,564n199

profit distributions, 1997,118

Social Security privatization,398–399

stock analysts, conflicts ofinterests, 21–23, 560n95,560nn98–102

Wall Street brokerage houses,income sources, 22

Wall Street investment banks,223–226, 287

Wall Street model, 208–210, 215,218, 230

Wal-Mart, 105–108, 575n80,576n89

Walt Disney, 13, 67–69, 177Walton, Alice, 259Walton, John, 397–398Walton, Sam, 107, 108, 468Walton family, 107Wang, Charles, 25–27, 561n117Ward, John, 562n145Ward, Ralph, 49Warner, Mark, 388Warner Communications, 10, 12,

558n20War on Poverty, 333–334

Greed and Good656

Washington Post, 593n113Watson, Raymond, 67Watson, Tom, 426Watt, George, 329wealth

burden of, 260, 262–263, 267defined, ixempowerment of, 267–270excessive defined, 482–484happiness linked to

context defining, 238–239fallacy of, 258–261by material possessions,

244–246, 248–250,262–263, 369

satisfaction factor in,241–242

Shaw on, 271health linked to, 311–318hyperagency resulting from,

268–269luck as contributor to, 51,

78–79, 81–83, 266, 458wealth, accumulation of. See also

wealth inequityblack vs. white, 354–356,

612n103Hirschhorn on, xpost-Civil War, 423religion on, xvii–xviii,

465–467wealth, believed deserved. See also

Dunlap, Albert J.based on a just society, 264belief of richest 1%, 263–264as divine right of founder,

77–79for hard work, 51, 59–61,

77–79, 81, 88–90for individual achievement,

80–81, 193by information age executives,

63inherited wealth vs., 260, 263for intelligence/genius, 51,

67–68, 77–79for risk, 51, 56–58for talent, 14, 29–31, 51–52,

73, 74–75, 505–506,570n148, 570n153

for visionaries, 69–71, 84wealth, desire for

CEOs, other industrializedcountries, 205–207, 235

elected representatives, 386,617n53

environmental degradation in,361–362

happiness and, 241–246historical/religious view of,

xvii–xviiimedia influence, xivas obsession, xivpercentage of Americans, 237

research communities, effecton, 211–212

wealth, distribution of. See alsowealth inequity

in economic growth theory,196–197

in Japan, 233–235, 595n199in Native American society, xvi

wealth, inherited. See also childrenof the wealthy

black vs. white, 354–355, 356as guarantee of wealth, 88–90guilt resulting from, 260, 263predictions for Baby Boomers,

572n214wealth inequity. See also economic

growth theory; greed; incomeinequity; wealth, accumulationof; wealth, distribution of

athletes vs. executives, 304automobile industry and,

250–251banking industry, conse-

quences from, 253–254in California, 120–122crime rates relationship to,

231–233earnings distribution disparity,

557n129–130health and, 320–321, 606n12,

606n16, 606n23literature on, xvimorality in, 90, 182, 276need for/purpose of, 3–5,

557n1, 590n9progressive tax structure, effect

on, 467–472public opinion on, vii–viii,

528–529, 632n6, 632n8,632n10

racism and, 351–353, 419,621n25

unions link to, 216in Virginia, 123

wealth inequity, benefits perceivedfrom

charitable works, 93cultural achievement, 93, 140economic growth, 197–201,

521–522, 590n9job creation, 93, 95–96to the middle class, 96social advance, 424

wealth inequity, chronologically1600s, 2191700s, 2191700s-1800s, xviii–xix, 360,

416–424, 620n71800s-1900, 129, 262, 264,

621n251920s, 2191945 (post-WWII)-1970s,

xx–xxii, 216, 442–446,464–465, 555nn99–100,

624n2231970s, 216, 445–447,

557n1301980s-1990s, xxii–xxiii, 217,

219–2231998-2001, 557n131Industrial Age-present,

360–361the wealthy. See also children of the

wealthythe wealthy. See also families (aver-

age); plutocracy; taxes on thewealthy; the middle class; thepoor

beliefs held regardingthe middle class, 264–265the poor, 263–264, 333,

338Boston Brahmins, 128–129in California, 120–121characteristics of, self-

described, 51, 81, 129defined, ix–x, xxii, 617n51environmental degradation by,

361–362financial assets, 1980s-1990s,

xxiirelationships of, 260–262, 267,

306, 346Roosevelt (FDR) on, 440Roosevelt (Theodore) on, xviisocial roots of success, 80voting rates, 407, 620n157

wealthy, charitable giving ofarts funding, 139–140, 142,

143, 148–151statistics, 127–137, 580n31Ten Times Rule, effect on,

508–509, 512–513untapped capacity of, 132–134

wealthy, governmental influence ofby contributions, 384–385,

388–389, 393–396,428–429

Gilded Age, xv, xix, 547positions of importance held

by, 390–391Social Security cap, 387

wealthy, income of. See also specificincome groups e.g. millionaires

1977 vs. 1999, 556n130distribution patterns, 483–484global statistics, 613n12income share, 1947-1973, 125sources of, 118, 493–494

wealthy, insulation offor athletes, 306from greater society, 262, 298,

346–347, 349, 403from intrusion by others, 268from poverty, 336from reality, 269, 333

wealthy, lifestyles of theart collections, 139–140

Index 657

clubs/memberships, 268–269,298

Gilded Age, 262, 423–424home furnishings, xi, 244,

253, 436homes

castles, xGilded Age, xvlandscaping costs, xi, 268Neo-Fortress Movement,

357, 612n126prices of, x–xi, 256,

599n109safe rooms, 230servants for, xiii, 554n49square footage, 255–256Ten Times Rule, effect on,

506–509personal needs and services

beauty/grooming, 268clothing, designer lines, xi,

253Neiman Marcus retail,

262–263private security, 230, 357,

595n182servants, 268

transportationautomobiles, 253,

364–365, 629n76pay-for-speed lanes, 258planes/yachts, xi–xii, 59

travel, xii–xiii, 59wealth management services,

253, 598n90wealthy, speculation by

in Civil War, 423by George Soros, 593n123as investment capitalists

(angels), 223, 594n151,594n155

in Japan, 233–234post-Revolutionary war, 418stock trading, 219–222, 229telecom investments, 226–228Ten Times Rule, effect on,

519–520as venture capitalists, 223–226,

594n151, 594n155wealthy, the richest 1%

40 richest Americans of alltime, 468

accumulated wealth1983-1998, xxiii1998, xxiii, 556n1152003, xxv

income gains1970s-2000, xxiii, 113,

557n1301990s vs. other

Californians, 120–1211993-1997, 120

income share1915, 432, 623n1321929, 4361977-1990s, xxv, 1251980s-1990s, 1251992-2001, 125, 579n207

political influence of, 385tax cuts benefiting, 415, 451,

453wealth believed deserved by,

90, 263–264wealth of, credited to, 51

wealthy, the richest 5%income share, 125, 579n203,

628n34minimum income required,

556n112richest 1% compared,

xxii–xxiii, 556n115wealthy, the richest 20%, xxii, 121,

242, 556n109Wealthy and Wise (Rosenberg), 132Webber, Carolyn, 348Webster, Noah, xviiiWebster, William, 187Webvan, 76–77, 571n168Weill, Sandy, 45, 64, 140Weiman, Lori, xxivWeinstein, Michael, viiiWeisman, Steven, 431Welch, Jack

compensation package, xxiv,46, 570n139

connections role in success of,76

forced rankings process, 72,570n144

genius of, 71–73as model for Barnevik, 206

welfare reformDenmark, 338–339United States, 334–336, 338,

342–343wages and, 342–343, 609n27

Wexner, Leslie, 127Wheeler, Phil, 537, 539Whitehall study (Britain),

321–322Whitman, Walt, xixWho Wants to Be a Millionaire (tel-

evision), xiv, 69Who Wants to Marry a Multi-

Millionaire (television), xivWigginton, Randy, 121–122Wilbur, Colburn, 291Wildavsky, Aaron, 348Wilentz, Sean, 417, 447, 450,

621n23Wilkinson, Richard, 313, 322,

323, 325, 326, 328Will, George, vii, 91, 307, 493Wilson, Margo, 231

Wilson, Woodrow, 432Wilzig, Alan, xWinnick, Gary, 188Winter, J. Burgess, 162, 584n13Witte, John, 441Wolf, Stewart, 320Wolff, Edward, comments on

growth rate of super rich, ix,125

net worth of average American,xxii

net worth of wealthiest 1%,xxiii

on retirement preparedness ofAmericans, 103

wealth tax proposal, 472,628n68

womenmurder rates, 595n185Title IX funding for, 536in the workplace, 242,

516–517worker rights, U.S. vs. Europe,

202–208working poor. See also the poor

1920s, 435–436full-time workers as, 105–108,

217Santa Clara County, CA, 122taxing the, 341–342, 491,

610n62Wal-Mart employees as,

105–108welfare reform and, 334–336,

342–343, 609n27workplace. See also employees; pro-

fessionalsegalitarianism vision of, xvihistory, 420–421, 621n38people of color in the,

516–517safety nets, U.S. vs. other

industrialized nations, 202,233, 596n210

scientific management of the,159

wage-earners/family, 99women in the, 242, 516–517

workweek, hours in the1979 vs. 1997, 243, 597n28excessive

for attorneys, 275, 277downsizing driving,

181–182, 588n139for immigrants, 114poor health related to,

318–319Germany vs. U.S., 99for the middle class, 243–244Ten Times Rule, effect on,

505, 510U.S. vs. other industrialized

Greed and Good658

nations, 99, 204at Wal-Mart, 106

WorldCom, 48–49, 174,180–181, 189, 486

WorldCom collapse, 633n20Wozniak, Steve, 164Wyly, Sam, 532Wynn, Steve, 149

XXerox, 187–188, 211, 281

YYahoo, 20, 221Yang, Jerry, 20Yazigi, Monique, 265Yerger, Ann, 46Yermack, David, 16

ZZandi, Marc, 97

Index 659