Forschungsseminar "Quantitative Wirtschaftsforschung"Unser nächster Gast

29 May 2018

Am Dienstag, den 29. Mai 2018, ist Herr Professor Sebastian Gryglewicz mit einem Vortrag zum Thema

"Growth Options, Incentives, and Pay-for-Performance: Theory and Evidence"

zu Gast in unserem Forschungsseminar "Quantitative Wirtschaftsforschung".

Herr Prof. Gryglewicz forscht und lehrt an der Erasmus Universtität Rotterdam.

ABSTRACT
We develop a dynamic agency model in which the agent controls current earnings via short-term effort and firm growth via long-term effort and the firm is subject to both short- and long-run shocks. Under the optimal contract, agency conflicts can induce both over- and underinvestment in short- and long-term efforts compared to first best, leading to short- or long-termism in corporate policies. Exposure to long-run shocks introduces pay-for-luck in incentive compensation but only after sufficiently good performance due to incentive compatibility, thereby rationalizing the asymmetric benchmarking observed in the data. Correlated short- and long-run shocks to earnings and firm size lead to externalities in incentive provision over different time horizons.

Wir freuen uns auf Ihre Teilnahme und eine anregende Diskussion.

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Forschungsseminar "Quantitative Wirtschaftsforschung"
Dienstags, 12:15 s.t. - 13:45 Uhr
Von-Melle-Park 5
Raum 0029 (Eingang D, EG)
Vortragssprache ist Englisch