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This paper identifies globalization as a factor behind the rapid increase in executive compensation and inequality over … executive compensation, indicating that globalization is influencing compensation through pay-for-non-performance. Furthermore … firms with poor corporate governance, as one would expect if globalization has enhanced rent-capture opportunities. Overall …
Persistent link: https://www.econbiz.de/10012942995
How does “what managers know” affect firm performance on international markets? This question is of considerable …, stems from the experience of doing it. Therefore, different employers immensely contend for managers' highly valuable export … experience. As managers can accept better and better positions from several offers, they may become highly mobile, thus having a …
Persistent link: https://www.econbiz.de/10012912671
We derive determinants of tax avoidance by means of a multi-task principal-agent model. We extend prevailing models by integrating both corporate and individual income taxation as well as by including tax planning effort in the agent's action portfolio. Our model shows novel and apparently...
Persistent link: https://www.econbiz.de/10013051278
managers between countries whereas in the second scenario relocation possibilities exist. Our findings show that the effort …
Persistent link: https://www.econbiz.de/10013144210
findings suggest that, when managers engage in wasteful capital expenditures, welfare may decline if the cost of investment is …
Persistent link: https://www.econbiz.de/10013060519
In this paper, we explore the role of trade in differentiated final goods as well offshoring of tasks for inequality both within and between countries. We emphasize the distinction between managerial and production labor. Production labor is assumed to be a variable input composed of tradable...
Persistent link: https://www.econbiz.de/10013316113
Risk-neutral individuals take more risky decisions when they have limited liability. Risk-neutral managers may not when …
Persistent link: https://www.econbiz.de/10013316254
This paper asks whether adversity spurs the introduction of process innovations and increases the use of managerial incentives by firms. Using a large panel data set of workplaces in Canada, our identification strategy relies on exogenous variation in adversity arising from increased border...
Persistent link: https://www.econbiz.de/10013316356
A strictly risk-averse manager makes joint decisions on a firm's tax payments and book profit declarations according to accounting standards. It is analysed how the incentives to overpay or evade taxes and to inflate book profits are influenced by (1) the composition of the manager's...
Persistent link: https://www.econbiz.de/10013316588
This paper reviews the theoretical and empirical literature on executive compensation. We start by presenting data on the level of CEO and other top executive pay over time and across firms, the changing composition of pay; and the strength of executive incentives. We compare pay in U.S. public...
Persistent link: https://www.econbiz.de/10012949331