AIG Bonuses

Everyone is putting up their 2 cents about the AIGFP bonuses. So here is my little 2 cents — 1 cent, really, since I don’t have time to pontificate:

– It is pretty bad because these CDOs and credit default swaps are going to destroy the world economy and AIG was the primary peddler of these little toys. There is also a huge scam going on right now with the secondary recipients that makes me cringe.
– However, these were contractually given their bonuses.
– It is explicitly unconstitutional in the United States for Congress or any legislative body to levy an punitive tax to a specific group.
– They should have their bonuses.
– But nothing says the names and size of reward cannot be published on the front page of the Washington Post.
– I agree with Planet Money — the Administration has bigger issues. They should not even give lip service to any issue less than, say, $10 billion right now. $100 million is a tiny drop in an enormous river. Let it go, let the talking heads have outrage, move on.