| Article ID | Journal | Published Year | Pages | File Type |
|---|---|---|---|---|
| 5089785 | Journal of Banking & Finance | 2012 | 14 Pages |
Abstract
⺠We analyze earnings-based bonus compensation by using a real-options model. ⺠Ownership shares give managers incentives to use debt; earnings-based bonuses do not. ⺠Combining ownership shares and earnings-based bonuses leads to different results. ⺠This is due to specific interactions between the investment and financing decisions.
Related Topics
Social Sciences and Humanities
Economics, Econometrics and Finance
Economics and Econometrics
Authors
Hsing-Hua Huang, Hongming Huang, Pai-Ta Shih,