Are CEO's paid their marginal product? An empirical analysis of executive compensation and corporate performance.

Klinedinst, Mark (1991): Are CEO's paid their marginal product? An empirical analysis of executive compensation and corporate performance. Published in: Australian Bulletin of Labor , Vol. 17, No. No. 2 (June 1991): pp. 118-131.

Abstract

The theory and reality of chief executive compensation is explored in this paper. The study here uses a panel of data on 143 executives from America’s largest corporations. The results suggest that earlier theoretical expectations and empirical findings of compressed wage scales may not hold when top-level managers are included.

• Item Type: MPRA Paper
• Language: English
• Keywords: compensation, executive, marginal products
• Subjects: C - Mathematical and Quantitative Methods > C9 - Design of Experiments > C92 - Laboratory, Group Behavior; J - Labor and Demographic Economics > J3 - Wages, Compensation, and Labor Costs > J33 - Compensation Packages ; Payment Methods; D - Microeconomics > D2 - Production and Organizations > D24 - Production ; Cost ; Capital ; Capital, Total Factor, and Multifactor Productivity ; Capacity; C - Mathematical and Quantitative Methods > C9 - Design of Experiments > C91 - Laboratory, Individual Behavior; J - Labor and Demographic Economics > J3 - Wages, Compensation, and Labor Costs > J30 - General

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