...Jonathan D. Bonham ABSTRACT I study productive activity, measurement, and compensation in a principal agent model that relaxes common restrictions on the action set of the agent, the distribution of performance measures, and the shape of the wage schedule. The solution to this relaxed problem...

...Carlos Corona; Tae Wook Kim ABSTRACT We examine the effects of mandating compensation disclosure on executive incentive contracts, earnings management, firm value, and social welfare. We develop a moral hazard model with multiple principal-agent pairs facing an external monitor who allocates...

... and the associations of each latent variable with shareholder payoffs (returns) and CEO payoffs (annual compensation to the CEO position). Results show the two types of aggressiveness are positively correlated but have different associations with the payoffs we consider. Greater policy-choice aggressiveness...

...Eric W. Chan; Steven J. Kachelmeier; Xinyu Zhang ABSTRACT To address the empirical phenomenon that organizations often reward time on the job as an end in itself, we design an experiment in which participants solve anagram puzzles, manipulating whether a compensation pool generated from the output...

...Ethan Rouen ABSTRACT I develop measures of firm-level pay disparity and examine their relation to firm performance. Using comprehensive compensation data for a large sample of firms, I find no statistically significant relation between the ratio of CEO-to-mean employee compensation and performance...

... capital gains taxes compensation corporate risk-taking Taxes on capital gains discourage the sale of appreciated assets, leading to distortions in asset prices and in investors' portfolio allocation decisions (e.g., Feldstein, Slemrod, and Yitzhaki 1980 ; Dammon, Spatt, and Zhang 2004...

..., disclosure, and compensation policies, but unlikely to follow the board-related governance practices that we can measure. Second, we find some evidence that the business practices of future Berkshire investees are more aligned with Buffett's beliefs in the pre-investment period compared to control firms...