Competition, China and Stock Options
Some people love Thomas Friedman of The New York Times…others hate him. I’m not going to make a judgment either way, but I thought that a recent column of his is worth pointing out. Especially a key paragraph about competition and the treatment of stock options.
The pertinent paragraph:”… at a time when China is encouraging its new companies to offer employees stock options to get Chinese innovators to stay at home and start new firms, the Bush team has been mutely going along with a change in accounting standards that will force U.S. companies to expense stock options by June 2005. This is likely to dampen the growth of our own high-tech companies and encourage U.S.-educated Indian and Chinese techies to go back home.”
Full Op-Ed can be read here. http://www.nytimes.com/2005/03/17/opinion/17friedman.html (Free registration required)
For me to offer commentary on this would be pointless, but I thought this particular paragraph was worth pointing out.