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Discussion 1: "Corporate Governance"

Respond to the following:

• Analyze the pros and cons of a corporation having outside board of directors. Next, determine the proportion (i.e., minority, majority, or equal representation) that the outside board members should represent in the board. Justify your response.

• Go to Bloomberg's Website, and read the article titled, "CEO Pay 1,795-to-1 Multiple of Wages Skirts U.S. Law," located in Week 10 of the course shell. Considering the Board of Directors (BoD) as an intermediary between the managers and the owners, determine whether or not the BoD is acting ethically and legally in controlling CEO compensation. Next, suggest one method for determining a reasonable compensation rate for the CEO of a company. Suggest two changes that need to happen in corporate governance in order to control excessive CEO compensation.

Discussion 2: "Sum It Up"

Respond to the following:

• Specify the top three concepts or skills you learned in this course that you believe will be the most useful to you in your present or future professional career or education. Provide at least one specific example to support your response.

• Rate the three most important concepts that you have learned in this course in order of importance (one being the most important; three, the least). Provide a rationale for your rating scheme.

Microeconomics, Economics

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