the latter half of the 1990s. Far from rejecting the optimal incentive contracting theory of executive compensation, the … recent evidence on executive pay can be reconciled with classical agency theory once one expands the framework to allow for …

corporate finance literature is that executive perks are a form of agency or private benefit and a way for managers to … industries with limited investment prospects should typically offer perks. The theory also suggests that firms that are subject …

An effective performance-based compensation system must increase the probability of high performance corporate outcomes … performance and current compensation indicates that the pay system is performance-based in practice, if not explicitly. This study … considers whether increasing the sensitivity of current compensation to current performance is associated with higher …

theory of agency, notably income insurance and multi-task considerations, also shape pay policies. The conclusion we draw …

the discussion of incentives, I first summarize theory and evidence related to the classic agency model, which emphasizes … economics); I identify ten basic questions that merit more systematic investigation. Turning to theory, I describe building …

Due to the limited availability of firm-level compensation data, there is little empirical evidence on the impact of … compensation plans on personal productivity. We study an international law firm that moves from high-powered individual incentives … shift billable hours to team members. Although the motivation for the change in the compensation plan was the multitasking …

this risk. We use our theory to interpret some executive compensation data from the early 1970's. The results are generally …In this paper we examine the factors affecting the structure of executives' compensation packages. We focus … particularly on the role of various types of delayed compensation as means of "bonding" executives to their firms. The basic …

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 … compensation is effective at solving large agency problems, such as selecting corporate strategy, but smaller issues such as perk …

We present a multiperiod agency model of stock based executive compensation in a speculative stock market, where … optimal compensation contracts may emphasize short-term stock performance, at the expense of long run fundamental value, as an … incentive to induce managers to pursue actions which increase the speculative component in the stock price. Our model provides a …