Alan Greenspan Options Quotations

In principle, stock-option grants, properly constructed, can be highly effective in aligning corporate officers' incentives with those of shareholders, ... Regrettably, the current accounting for options has created some perverse effects on the quality of corporate disclosures that, arguably, is further complicating the evaluation of earnings.

Although this treatment of the cost of options is not ideal, it is arguably superior to their treatment in shareholder reports, where options are generally not expensed at all,