Traditional finance theory suggests that riskier investments should yield higher returns. Challenging this notion … aversion, resulting in lower return investment choices. Therefore, we assess whether incentives associated with stock option … greater risk aversion rather than excessive risk-taking. Overall, our results imply that risk-taking incentives (i.e., vega …

That people respond to incentives is a common belief. This became even stronger during the course of the financial … question if and how incentives work evaluated by their impact on company performance, i.e. on market capitalization and profit … Germany), it can be proved that neither short nor long term incentives plans necessarily support the company success. It …

all cases, explicit, non-discretionary ESG incentives are economically insignificant relative to executives’ incentives to … companies, explicit, non-discretionary ESG incentives were incorporated only in annual bonus plans. One sample company – Duke …. While this approach could be seen as a roadmap for those seeking meaningful ESG-based pay incentives, this Article concludes …

This paper studies how asymmetric information over inputs affects workers' response to incentives and self-selection at … and managers shape the response to incentives and self-selection at the workplace. …

We provide evidence that CEO equity incentives, especially stock options, influence stock liquidity risk via …

that increase the incentives of relatively more able workers, heterogeneity is unlikely to be as detrimental as commonly … perceived for incentives in organizations with multiple hierarchy levels. Heterogeneity of the workforce may even be optimal … from the perspective of a firm that provides incentives using a multi-stage promotion contest. …

Empirical studies of the principal-agent relationship find that extrinsic incentives work in many instances, linking … drive to work to master a skill or to improve one's self image, is thought to be the key to whether incentives work or not …. If the incentives crowd-out intrinsic motivation, and the effect is large enough, the net motivational effect on effort …