Greek Debt Crisis: EU Should Learn from UAE

June 29th, 2015 by Kara in Case Studies

By: Dr. Kara Tan Bhala Dubai’s total debt to GDP is about 132 percent of GDP. Greek debt as a percentage of its GDP is 177 percent. Both countries are over leveraged. Neither has the means to service its debt, without help. Yet, the markets are not overly concerned about Dubai’s debt, but are in utter turmoil over Greek debt. The reason? Dubai, as a member of the United Arab Emirates (UAE), was given debt relief by Abu Dhabi, another member of the federation. Greece as a member of the EU ...

The Ethics of Executive Compensation: A Matter of Duty

June 15th, 2015 by Kara in Case Studies

By: Aidan Balnaves-James It is well know that executive compensation growth beats average worker salary growth. By a wide margin. The outperformance contributes to increasingly pronounced levels of income inequality. Subjective peer group referents and benchmarking, combined with ineffectual regulatory instruments, account for much of this trend, despite public anger and media scrutiny. Excessively high executive compensation linked to operational goals, induces unnecessary risk-taking and increased probability of unethical, possibly unlawful behavior. Applying deontological ethics and the concept of fiduciary duty affirms that the current structure and levels of executive compensation ...