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This paper studies the effect of product market competition on the compensation packages that firms offer to their executives and in particular its impact on the sensitivity of pay to performance. To measure the effect of competition we use two different identification strategies on a panel of...
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A growing body of literature indicates that competition increases bank soundness. Applying an industrial organization … indeed increases bank efficiency. Second, building on these results, we examine the relation between the Boone indicator … bank soundness. We find evidence that competition robustly increases bank soundness, via the efficiency channel …
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