Causes and effects of employee stock option plans: Evidence from Singapore

Pacific Basin Finance Journal

Volumn 9, Issue 5, 2001, Pages 563-599

  Ding, David K ^a   Sun, Qian ^a  

^a NANYANG TECHNOLOGICAL UNIVERSITY   (Singapore)

Author keywords

Agency problem; ESOP; Financial reporting cost; G34; Singapore

Indexed keywords

EID: 0042907602     PISSN: 0927538X     EISSN: None     Source Type: Journal    
DOI: 10.1016/s0927-538x(01)00027-0     Document Type: Article

References (23)

1. Agrawal A., Knoeber C.R. Firm performance and mechanisms to control agency problems between managers and shareholders. Journal of Financial and Quantitative Analysis. 31:1996;377-397.
2. Agrawal A., Mandelker G.N. Managerial incentives and corporate investment and financing decisions. Journal of Finance. 42:1987;823-837.
3. Brickley J.A., Bhagat S., Lease R.C. The impact of long-range managerial compensation plans on shareholder wealth. Journal of Accounting and Economics. 7:1985;115-129.
4. Chaplinsky S., Niehaus G. The role of ESOPs in takeover contests. Journal of Finance. 49:1994;1451-1470.
5. Chung K.H., Pruitt S.W. A simple approximation of Tobin's q. Financial Management. 23(3):1994;70-74.
6. Clarkson P.M., Satterly A., Richwhite F. Australian evidence on the pricing of estimation risk. Pacific-Basin Finance Journal. 5:1997;277-295.
7. DeFusco R.A., Johnson R.R., Zorn T.S. The effect of executive stock option plans on shareholders and bondholders. Journal of Finance. 45:1990;617-627.
8. Dimson E. Risk measurement when shares are subject to infrequent trading. Journal of Financial Economics. 7:1979;197-226.
9. Dodd P., Warner J.B. On corporate governance: A study of proxy contests. Journal of Financial Economics. 11:1983;401-438.
10. Griffiths W.E., Hill R.C., Judge G.G. Learning and practicing econometrics. 1993;Wiley, New York.
11. Haugen R.A., Senbet L.W. Resolving the agency problems of external capital through options. Journal of Finance. 36:1981;629-648.
12. Hyman D.N. Public Finance: A Contemporary Application of Theory to Policy. 1996;The Dryden Press, Fort Worth, TX.
13. Jensen M.C., Meckling W.H. Theory of the firm: Managerial behavior, agency costs and ownership structure. Journal of Financial Economics. 3:1976;305-360.
14. Kang J.K., Stulz R.M. How different is Japanese corporate finance? An investigation of the information content of new security issues. Review of Financial Studies. 9(1):1996;109-139.
15. Larcker D.F. The association between performance plan adoption and corporate capital investment. Journal of Accountancy and Economics. 5:1983;3-30.
16. Lee L.N. Executive stock options: An assessment of theory and practice in the Singapore context. Singapore Management Review. 13:1991;1-13.
17. Matsunaga S.R. The effects of financial reporting costs on the use of employee stock options. Accounting Review. 70:1995;1-26.
18. Mehran H. Executive compensation structure, ownership and firm performance. Journal of Financial Economics. 38:1995;163-184.
19. Miller M.H., Scholes M.S. Executive compensation, taxes, and incentives. Financial Economics: Essays in Honor of Paul Cootner. 1982;179-201.
20. Perfect S.B., Wiles K.W. Alternative constructions of Tobin's q: An empirical comparison. Journal of Empirical Finance. 3/4:1994;313-341.
21. Tehranian H., Waegelein J.F. Market reaction to short term executive compensation plan adoption. Journal of Accounting and Economics. 7:1985;131-144.
22. Warner J.B. Stock market reaction to management incentive plan adoption. Journal of Accounting and Economics. 7:1985;145-149.
23. Yermack D. Do corporations award CEO stock options effectively? Journal of Financial Economics. 39:1995;237-269.