This paper presents a unified framework for understanding the determinants of both CEO incentives and total pay levels … endogenize both elements of compensation. The model's closed form solutions yield testable predictions for how incentives should … and over time. The theory also predicts a positive relationship between pay volatility and firm volatility, and that risk …

Textbook theory assumes that firm managers maximize the net present value of future cash flows. But when you ask them …, real-world firm managers consistently say that they are maximizing something else entirely: earnings per share (EPS …). Perhaps this is a mistake. No matter. We take firm managers at their word and show that EPS maximization provides a single …

benefit of blockchains, private incentives for firms and first-mover advantages for auditors can create inefficient under …

to identify whether managers have private benefits or costs, we estimate the joint relationships between incentives and … investment are increasing in managerial incentives. These results are consistent with managers having private costs of investment … shareholders and managers in which managers have private benefits or private costs of investment. Managers overinvest when they …

We derive a measure that captures the extent to which overlapping ownership structures shift managers' incentives to … possibility that the growth of common ownership has had a significant impact on managerial incentives …

We investigate whether bank performance during the credit crisis of 2008 is related to CEO incentives and share … no evidence that banks with CEOs whose incentives were better aligned with the interests of their shareholders performed …

The paper studies how a person's concern for a future career may influence his or her incentives to put in effort or …

What determines CEO incentives? A confusion exists among both academics and practitioners about how to measure the … strength of CEO incentives, and how to reconcile the enormous differences in pay sensitivities between executives in large and … small firms. We show that while one measure of CEO incentives (the dollar change in CEO wealth per dollar change in firm …