Effectiveness of CEO pay-for-performance

Review of Financial Economics

Volumn 9, Issue 1, 2000, Pages 1-13

  Mishra, Chandra S ^a   McConaughy, Daniel L ^b   Gobeli, David H ^a  

^a OREGON STATE UNIVERSITY   (United States)

^b Real Est Econ   (United States)

Author keywords

Firm performance; Firm risk; G3; J33; L2; Pay performance sensitivity

Indexed keywords

EID: 0042783619     PISSN: 10583300     EISSN: None     Source Type: Journal    
DOI: 10.1016/S1058-3300(00)00015-X     Document Type: Article

References (28)

1. Abowd J. Does performance-based managerial compensation affect corporate performance? Ind Labor Relat Rev. 43:1990;52-73. (February).
2. Altman E. Corporate Bankruptcy in America. 1971;Heath Lexington Books, Lexington, MA.
3. Barkema H., Geroski P., Schwalbach J. Managerial compensation, strategy, and firm performance: an introduction. Int J Ind Organ. 15:1997;413-416.
4. Baysinger B., Hoskisson R. The composition of the board of directors and strategic control: effects of corporate strategy. Acad Manage Rev. 15:1990;72-87.
5. Beatty R., Zajac E. Managerial incentives, monitoring and risk bearing: a study of compensation, ownership and board structure in initial public offerings. Adm Sci Q. 39:1994;313-335.
6. Bizjak J., Brickley J., Coles J. Stock-based incentive compensation and investment behavior. J Account Econ. 16:1993;349-372.
7. Eisenhardt K. Agency theory: an assessment and review. Acad Manage Rev. 14:1988;57-74.
8. Gerhart B., Milkovich G. Organizational differences in managerial compensation and financial performance. Acad Manage J. 32.4:1990;663-691.
9. Gibbons R., Murphy K. Relative performance evaluation for chief executive officers. Ind Labor Relat Rev. 43.3:1990;30-51.
10. Gilson S. Management turnover and financial distress. J Financ Econ. 25.2:1989;241-262.
11. Gilson S. Bankruptcy, boards, banks, and blockholders: evidence on changes in corporate ownership and control when firms default. J Financ Econ. 27.2:1990;355-388.
12. Vetsuypens GilsonS. CEO compensation in financially distressed firms. J Finance. 48.2:1993;425-458.
13. Gray S., Cannella A. The role of risk in executive compensation. J Manage. 23.4:1996;517-540.
14. Hambrick D., Finkelstein S. The effects of ownership structure on conditions at the top: the case of CEO pay raises. Strategic Manage J. 16:1995;175-193.
15. Holmstrom B. Moral hazard and observability. Bell J Econ. 14:1979;74-91.
16. Jensen, M., & Murphy, K. (1990). A new survey of executive compensation: full survey and technical appendix. Working Paper 90-067. Harvard Business School.
17. Kerr J., Bettis R. Boards of directors, top management compensation, and shareholder returns. Acad Manage J. 30.4:1987;645-664.
18. Leonard J. Executive pay and firm performance. Ind Labor Relat Rev. 43.3:1990;13-30.
19. Lewellen W., Loderer C., Martin K. Executive compensation and executive incentive problems: an empirical analysis. J Account Econ. 9:1988;287-310.
20. Lippert R., Moore W. Compensation contracts of chief executive officers: determinants of pay-performance sensitivity. J Financ Res. 17.3:1994;321-332.
21. Lippert R., Moore W. Monitoring versus bonding: shareholder rights and management compensation. Financ Manage. 24.3:1995;54-62.
22. McConaughy D., Mishra C. Debt, performance-based incentives and firm performance. Financ Manage. 25.2:1996;37-51.
23. Shavell S. Risk sharing and incentives in the principal and agent relationship. Bell J Econ. 10:1979;55-73.
24. Stroh L., Brett J., Bauman J., Reilly A. Agency theory and variable pay compensation strategies. Acad Manage J. 39.3:1996;751-767.
25. Tosi H., Gomez-Mejia L. CEO compensation monitoring and firm performance. Acad Manage J. 27.4:1994;1002-1016.
26. Werner S., Tosi H. Other people's money: the effect of ownership on managerial pay. Acad Manage J. 38.6:1995;1672-1691.
27. Wright P., Ferris S., Sarin A., Awasthi V. Impact of corporate insider, blockholder, and institutional equity ownership on firm risk taking. Acad Manage J. 39.2:1996;441-463.
28. Zajac E., Westphal J. Accounting for the explanations of CEO compensation: substance and symbolism. Adm Sci Q. 40:1995;283-306.