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Executive Compensation and Principal-Agent Theory

Dados Bibliográficos

ID10179211
AutoresJohn Garen (0000-0002-4641-8811, autor correspondente), John E Garen
Ano1994
Volume102
Fascículo6
Páginas1175-1199
Data de publicação1994-12-01
Peer ReviewedSim
Open AccessNão
TipoARTICLE
PeriódicoJournal of Political Economy (JOURNAL)
Identificadores do periódicoISSN: 0022-3808 • E-ISSN: 1537-534X
EditoraUniversity of Chicago Press (PUBLISHER • US)
DOI10.1086/261967
OpenAlexW2048644900
IdiomaEN
Citações recebidas24
Referências citadas2

The empirical literature on executive compensation generally fails to specify a model of executive pay on which to base hypotheses regarding its determinants. In contrast, this paper analyzes a simple principal-agent model to determine how well it explains variations in CEO incentive pay and salaries. Many findings are consistent with the basic intuition of principle-agent models that compensation is structured to trade off incentives with insurance. However, statistical significance for some of the effects is weak, although the magnitudes are large. Nevertheless, it seems clear that principle-agent considerations play a role in setting executive compensation. Copyright 1994 by University of Chicago Press

Compensation (psychology · Econometrics · Economics · Empirical evidence · Executive compensation · Executive summary · Incentive · Intuition · Management · Microeconomics · Principal (computer security · Principal–agent problem · Auditing, Earnings Management, Governance · Computer Science · Corporate Finance and Governance · Finance · Financial Reporting and Valuation Research · Psychology · Social Psychology

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Obras citantes distintas24
Citações por ano0,83
Intervalo de citações1997 - 2025 (29)
Velocidade de citaçãorecent
Altamente citadoNão
Tipos de citaçãoNeutras: 24
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