Incentive effects of performance-based compensation schemes for management may be weakened or biased by macroeconomic influences on remuneration. These influences can be seen as reflecting luck from the CEO's perspective. In this chapter we present a model for how to avoid compensating CEO for...

According to the rent-extraction hypothesis, weak corporate governance allows entrenched CEOs to capture the pay-setting process and benefit from events outside of their controlget paid for luck. In this paper, I find that the independence requirement imposed on boards of directors by the...

Im organisierten Sport, insbesondere in den Großvereinen des Freiburger Kreises, gibt es eine zunehmende Professionalisierung. Dieses hauptamtliche Personal muss vergütet werden. Zu den Vergütungsstrukturen, Vergütungsniveaus und Vergütungssystemen gibt es, wie in großen Teilen der...

Der Fachausschuss 1/97 wurde im Dezember 1997 mit dem Auftrag gegründet, eine grundsätzliche Basis für ein einheitliches Leitungsentgeltsystem für Lohnempfänger und Tarifangestellte in der Eisen- und Stahlindustrie zu erarbeiten. Für seine Arbeit hat der Ausschuss Voraussetzungen...

This paper investigates the wage-setting behaviour of Irish firms. We place particular emphasis on the use of flexible pay components and examine how these allow firms to deal with shocks requiring a reduction in costs without having to cut base wages. The results presented in this paper are...

This paper discusses some issues of compensation policy in business and academia from the perspectives of incentive theory, other theories, and empirical research. The main conclusion is that mechanical rules for performance-related pay are likely to be inferior to more subjective performance...

We study interfirm price competition in the presence of horizontal and vertical intrafirm conflicts in each firm. Intrafirm conflicts are captured by a principal-agent framework with firms employing more than one agent and implementing a tournament incentive scheme. The principals offer premium...

Pay for performance (P4P) incentives for physicians are generally designed as additional payments that can be paired with any existing payment mechanism such as salary, fee-for-service, and capitation. However, the link between the physician response to performance incentives and the existing...