on minority shareholders of increased ownership (greater monitoring of management, and reduced incentives to exploit … minority shareholders due to greater cash-flow rights) outweigh the harmful effect (greater private benefits of control due to …

findings suggest that, when managers engage in wasteful capital expenditures, welfare may decline if the cost of investment is …

, risks, and incentive schemes. First, the principal’s after-tax profit can increase with a higher corporate tax rate. Second …

model with strategic interaction between managers and outside shareholders, we hypothesize that, while an increase in the …

We analyze the optimal contract between a risk-averse manager and the initial shareholders in a two-period model where … second-period profit, so that it may be difficult to disentangle the incentives for these two types of effort. The contract … stipulates (a) the profit-contingent cash remuneration for each period, (b) the number of shares that will be granted to the …

. Shareholders are the main source of constraints, suggesting directors and investors disagree on how to maximize value. Respondents …