Previous studies on investment decisions with endogenous contracts typically adopt
differences among discount rates to describe decision makers' impatience. Yet evidences …

Purpose Based on dual information asymmetry, the two-stage segmented compensation
mechanism for technological innovation of civilian enterprises' participation in military …

This paper characterizes the optimal performance-based compensation plan for alignment
by incorporating time inconsistent preferences. When investment payoffs are given in flow …

We examine the case of a firm holding the option to make an uncertain and irreversible
investment. The firm is decentralized and there is information asymmetry between the owner …

This dissertation examines the complex relationship between advisors' compensation and
the strategic decision-making of bidder firms, in the context of tender offers. Although the …

This paper examines whether a performance-based bonus for a manager's investment
influences her abandonment decision. First, we derive optimal performance-based bonuses …

This paper examines the effect of “golden handshakes” on managerial incentive
compensation and risk-taking. Golden handshake, one on hand, increases CEO's pay-for …

We develop a dynamic model for an optimal compensation package that induces managers,
who are assumed to actively impact the value of the projects they manage, to behave on the …

A standard framework for the analysis of investment opportunities in the literature of
corporate finance is the real options approach. The real options approach examines the …

We examine the case of an investment project that, i) is characterized by uncertainty and
irreversibility, ii) is undertaken in a decentralized setting and iii) its completion is conditional …