The Era of Big Bonuses: Over? How the 2008 US Election Results Will Affect Investment Banking Pay
On January 23, 1996, President Clinton made a famous declaration in his State of the Union address:
“The era of big government is over.”
The promise, of course, turned out to be untrue: although Clinton moved to the center on welfare reform, among other issues, he later proposed hundreds of billions in additional federal spending.
With the results of the 2008 US election, many in the finance community have been asking a similar question lately:
Is the era of big bonuses over?
Before hitting the “panic” button, we need to break this question down so we can analyze it rather than running around with our heads cut off.
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