From 1970 to 2005, average U.S. family income rose 20%, however, during the same period, CEO income increased 2,800%.  Do American CEOs work that much harder than the average American?  Explain.

Social Psychology (10th Edition)
10th Edition
ISBN:9780134641287
Author:Elliot Aronson, Timothy D. Wilson, Robin M. Akert, Samuel R. Sommers
Publisher:Elliot Aronson, Timothy D. Wilson, Robin M. Akert, Samuel R. Sommers
Chapter1: Introducing Social Psychology
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From 1970 to 2005, average U.S. family income rose 20%, however, during the same period, CEO income increased 2,800%.  Do American CEOs work that much harder than the average American?  Explain.

CEOS make 278 times more than typical workers
CEO-to-worker compensation ratio, 1965–2018
500
CEO-to-worker compensation ratio based on options realized
CEO-to-worker compensation ratio based on options granted
400
386.4
368.1
345.9
300
278.1
241.1
200
221.0
100
581
31.6
19.9
15.5
45.1
24.5
1970
1980
1990
2000
2010
2020
Transcribed Image Text:CEOS make 278 times more than typical workers CEO-to-worker compensation ratio, 1965–2018 500 CEO-to-worker compensation ratio based on options realized CEO-to-worker compensation ratio based on options granted 400 386.4 368.1 345.9 300 278.1 241.1 200 221.0 100 581 31.6 19.9 15.5 45.1 24.5 1970 1980 1990 2000 2010 2020
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