Executive compensation structure, ownership, and firm performance

TL;DR: This paper examined the effects of these regulatory changes and reported small and large sample evidence that many million-dollar firms have reduced salaries in response to 162(m) and that salary growth rates have declined post-1993 for the firms most likely to be affected by the regulations.

TL;DR: In this article, the authors investigated the relation between corporate governance and financial management decisions such as earnings management and sub-optimal investment in maritime firms and found that important corporate governance measures, such as insider ownership, board size, presence of corporate governance committees, the percentage of directors serving on the boards of other firms and CEO duality, are associated with financial management decision and firm performance.

TL;DR: In this article, the authors estimate the relationship between long-term corporate investment and CEO incentive compensation structure, while considering the strength of corporate governance mechanisms, and find that longterm business investment is positively related to the weight placed on equity-based incentive compensation, after controlling for internal financing constraints and the quality of the investment opportunity set.

TL;DR: This article showed that stocks can dominate options as a means of motivation only if non-viability risk is substantial, as in financially distressed firms or start-ups, and provided some evidence that low bankruptcy risk is indeed correlated with less use of stock.

TL;DR: In this article, a parameter covariance matrix estimator which is consistent even when the disturbances of a linear regression model are heteroskedastic is presented, which does not depend on a formal model of the structure of the heteroSkewedness.

TL;DR: The authors argue that the separation of decision and risk-bearing functions observed in large corporations is common to other organizations such as large professional partnerships, financial mutuals, and nonprofits. But they do not consider the role of decision agents in these organizations.

TL;DR: In this paper, a covariance matrix estimator which is consistent even when the disturbances of a linear regression model are heteroskedastic is presented, but does not rely on a (possibly incorrect) specific formal model of the structure of the heter-kedasticity.

TL;DR: In this article, the authors explain how the separation of security ownership and control, typical of large corporations, can be an efficient form of economic organization, and set aside the presumption that a corporation has owners in any meaningful sense.