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. Our model delivers two predictions. First, managers have an incentive to reduce the correlation between deferred … compensation and company stock in bad times. Second, managers that reduce such a correlation take on more risk in bad times. Using …
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We analyze a hand-collected dataset of 1682 executive compensation packages at 34 firms included in the main German stock market index (DAX) for the years 2009-2017 in order to investigate the impact of the 2009 say on pay legislation. The findings provide important insights beyond the German...
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