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Total Executive Compensation

Author

Listed:
  • Tom Cooley

    (New York University)

  • Sonia Di Giannatale

    (CIDE)

  • Gian Luca Clementi

    (New York University)

Abstract

contract. We focus our attention on testable implications: (i) the relationship between compensation and firm size, (ii) the relative importance of current and deferred compensation, (iii) the sensitivity of compensation to innovations in shareholder wealth, and (iv) the relationship between such sensitivity and size. Very preliminary results show that when the marginal product of managerial effort is increasing in capital, our model is consistent with facts (i), (iii), and (iv).

Suggested Citation

  • Tom Cooley & Sonia Di Giannatale & Gian Luca Clementi, 2008. "Total Executive Compensation," 2008 Meeting Papers 906, Society for Economic Dynamics.
    • Handle: RePEc:red:sed008:906
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    References listed on IDEAS

    as
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    Cited by:

    1. Mele, Antonio, 2014. "Repeated moral hazard and recursive Lagrangeans," Journal of Economic Dynamics and Control, Elsevier, vol. 42(C), pages 69-85.

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