For the amount of power Congresspeople command, $174k is definitely meager pay.
That’s why the position tends to attract already wealthy people seeking prestige and power or normal individuals who use it as a stepping stone to million-dollar book deals or cushy jobs in the private sector.
I've heard it said that paying public servants well is a necessary, but not sufficient, condition for avoiding corruption (this was as applied to Singapore). You don't want people trading power for money, and when you consider how much economic damage a corrupt person in a position of power can do, paying them well is really cheap.
Of course, it is best to couple the good pay with severe penalties for abusing power.
Not while in office for most of them. Those that do already had those opportunities. They don't get the good payday until they retire and do lobbying or consulting.
I was prepared to dispute this, but now I'm not certain. According to capitoltrades.com, a site that tracks US politician stock trades, 213 politicians made trades within the last 3 years. Assuming those are senators and congress members, then it's fair to say that most aren't making trades.
That said, the GP comment that asserted "their power and insider knowledge makes them a lot more than that overall" isn't incorrect. 213 politicians take advantage of their elected positions to profit from the stock market.
That’s why the position tends to attract already wealthy people seeking prestige and power or normal individuals who use it as a stepping stone to million-dollar book deals or cushy jobs in the private sector.