"It is not just the left-wing forces who are outraged by lavish pay packages," a former banking regulator tells the Financial Times. "I just returned from a speaking trip to the Midwest and it's evident that Middle-American business people are just as angry, particularly when the government has been involved in rescuing the institutions."

Is it just a coincidence that the government has been fairly successful in modifying the pay behavior at top banks? All banks have changed their compensation policies, in some cases at the behest of Kenneth Feinberg or the Fed. Some banks are changing voluntarily. Which raises an obvious point, it is a lot easier to reform an industry when the public is solidly behind you. As the reform movement continues, public support will be a key issue. If the issues get too arcane, the better off the pro-status quo forces in the industry will be. Unfortunately, a lot of areas are pretty obtuse for people not in the industry. In any case, PR will be a tactical tool on both sides. 

For more:
- here's a big picture look at reform from the FT

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