Question

During an economic crisis many financial managers and corporate officers have been criticized for: Poor decisions Lack of ethical behavior Large salaries Lucrative severance packages worth millions of dollars Extravagant lifestyles Is this criticism justified

Answer 1

for having large salaries.

Step-by-step explanation:

These financial managers and corporate officers were criticized for having large salaries. This is mainly because during the financial crisis the stocks of these companies plummeted while compensation was still exorbitant. Compensation was supposed to be an incentive given to talent for maximizing the overall value of the firm through their work. Since this is not being done by the shareholders and officers then they should not be enjoying these compensations.