(1888PressRelease)
November 26, 2007 - The Japanese government will not move to bolster falling stock prices, a top government official has said.
Wall Street investment banks are to pay out record bonuses to staff this year, despite ongoing economic uncertainty.
Morgan Stanley, Goldman Sachs, Lehman Brothers, Bear Stearns and Merrill Lynch will pay out $38 billion to 186,000 workers worldwide, according to research undertaken by the Bloomberg news agency.
The total sum for bonuses represents a six per cent rise from the $36 million paid out by the same firms last year.
Upward pressure on bonuses has come in part from record earnings at Morgan Stanley and Lehman, which will in turn force their rivals to pay more in order to secure the services of their existing staff, Charles Geisst, finance professor at Manhattan College, Riverdale, New York said.
"They're all going to have to fall into line. If Bear and Merrill plead poverty, they're going to lose all of their good people," Mr Geist said.
Bankers will be paid the bonuses despite the fact that shareholders in the firms have collectively lost close to $74 billion in stock declines this year.
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