Executive Compensation: Facts
Data
15.06.2010
15.06.2010
Autori
Gian Luca Clementi, Thomas Cooley
Codice JEL
G34, J33, M52
G34, J33, M52
Parole chiave:
CEO, Pay–Performance Sensitivity, Stock, Options
CEO, Pay–Performance Sensitivity, Stock, Options
Publisher
Economy and Society
Economy and Society
Editor
Fausto Panunzi
Fausto Panunzi
In this paper we describe the important features of executive compensation in the US from 1993 to 2006. Some confirm what has been found for earlier periods and some are novel. Notable facts are that: the compensation distribution is highly skewed; each year, a sizeable fraction of chief executives lose money; the use of security grants has increased over time; the income accruing to CEOs from the sale of stock increased; regardless of the measure we adopt, compensation responds strongly to innovations in shareholder wealth; measured as dollar changes in compensation, incentives have strengthened over time, measured as percentage changes in wealth, they have not changed in any appreciable way.