Bahaji, Hamza - In: Review of Accounting and Finance 10 (2011) 3, pp. 200-227
preferences as described by cumulative prospect theory (CPT). In addition, it elaborates on their incentives effect and some … the incentives effect. Findings – Consistent with a growing body of empirical and experimental studies, the model predicts … compensation when making new stock option grants, the model predicts that incentives are maximized for strike prices set around the …