Visibility; Incentive pay; Implicit regulation
This paper seeks evidence of implicit regulation of executive pay. The implicit regulation hypothesis suggests highly visible companies will constrain their behavior to avoid potential reprisals from constituents, politicians and potential regulators. We extend this literature using a measure of corporate visibility based on the number of news stories about each firm in a balanced panel of 242 public companies.
Copyright © 2012 Elsevier B.V. All rights reserved.
Accepted Author Manuscript
Rayton, B. A., Brammer, S., & Cheng, S. (2012). Corporate visibility and executive pay. Economics Letters, 117(1), 337-339. doi: 10.1016/j.econlet.2012.05.044