Does Equity-based Compensation Add Value?Evidence from China”s Emerging Market Economy

摘要：

　　In 2006 the Chinese Securities Regulatory Commission permitted equity-based compensation.In the three-day event window surrounding the regulatory announcement and subsequent firm announcements of equity-based compensation plans,stock values increase approximately 20%.Comparing stock and accounting performance to a matched sample of firms not adopting equitybased compensation,firm performance drops during the period between the announcement and plan implementation (consistent with managerial power),but performance increases following plan implementation (consistent with convergence of interest).Investors anticipate improved performance following the implementation of equity-based compensation; however,faster adoption processes may reduce the underperformance between the firm announcement and final implementation.

关键词： equity-based compensation China convergence of interest managerial power

作者: YANG Hui-hui Kenneth A. Carow

作者单位: School of Accounting, Shanghai University of International Business and Economics, Shanghai 201620, Kelley School of Business, Indiana University

会议类型: 国内会议

会议名称: 中国对外经济贸易会计学会2013年学术年会

会议地点: 上海

会议语种:英文

页码: 1-23

在线出版日期: 2013-10-11（万方平台首次上网日期，不代表论文的发表时间）