respond to this classmate in simple response, don't say how good job they did, just add new information I think CEOs of large firms in the United States do earn much when compared to the average workers. The compensation of CEOs has been a hot topic for many years, with people wondering whether their high pay is justified or not. There is a huge pay gap between CEOs and employees, and they do not properly reflect the overall performance of a company or its wellbeing. According to (Bivens,2023) "In 2023, CEOs were paid 290 times as much as a typical workerin contrast to 1965, when they were paid 21 times as much as a typical worker...CEOs are getting paid more because of their leverage over corporate boards, not because of their skills or contributions they make to their firms". Its extremely unfair for CEOs to be paid 290 times more than an average worker just because of their status. CEOs pay is not always directly tied to their skills or contribution which makes the pay unfair and creating an imbalance compared to employees who actually contributes to the success of a company.

There are several solutions that can be implemented for addressing high CEO pay such as policies. According to (Bivens,2023) "...reinstating higher income tax rates at the very top, using tax policy to incentivize lower CEO pay, making shareholder votes on CEO compensation more binding, and using antitrust enforcement and regulation to rein in the market power of the largest firms". Implementing these policies are crucial steps in ensuring that CEOs don't take advantage of their compensation at the expense of employees who face unfair wages. The policies can ensure success across any company and create a balanced economy.