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utopiahtoday at 12:28 PM2 repliesview on HN

Ah, that's not how it works : CEOs are rich so they are successful. They are successful so they are rich. Q.E.D.


Replies

aleph_minus_onetoday at 2:07 PM

> CEOs are rich so they are successful.

"Successful" in which sense?

The most reasonable definition "Successful in convincing other people to give them money" is rather a tautology. :-)

A very related problem concerning your argument is well-known for decades: the Principal–agent problem:

> https://en.wikipedia.org/wiki/Principal%E2%80%93agent_proble...

It says that the self-interest of an agent (e.g. the CEO) is not identical to the interests of the principal (e.g. the shareholders).

Why do I mention this? The CEO being rich is a measurement of the financial success of the agent, but not of the principal. You are rather interested in measuring the success of the principal.

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hatefulhearttoday at 12:41 PM

Maybe in your fantasy world.

In reality people are rarely rich based on merit alone.

EDIT: Sorry it was a really clever joke.

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