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What Happens When the Press Blasts Your CEO for Excess Compensation? Apparently Not Much
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******************************** What Happens When the Press Blasts Your CEO for Excess Compensation? Apparently Not Much http://knowledge.wharton.upenn.edu/index.cfm?fa=viewfeature&id=1431 Springtime, in addition to bringing back flowers and birds, also brings forth many companies' proxy statements, including information on CEO compensation. It's a signal for the business press to get to work reporting the details of what appear to be the highest executive pay packages. Wharton accounting professors Wayne Guay and John Core, and Stanford accounting professor David Larcker, also study executive compensation. What they conclude from their most recent research is that the most relevant information doesn't necessarily make headlines. They also find that in general, the media's focus on excessive compensation does not substantively change corporate behavior with regards to pay packages.
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