Relationship Between the Compensation of Ezecutives and the Failure of American Investment Banks: A Study Based on Goldman Brothers
The American subprime crisis starts the global financial crisis which caused the global economy to suffer the serious attack. The five American famous investment banks dropped down in crisis. On the basis of five investment banks relevant issues, including the Goldman Brothers compensation data, the paper gives the quantitative analysis, discovered Goldman Brothers salary system flaw, showed the unreasonable salary system throws the important reason which the line went out of business. Excessive short-term droved salary system may drive executives carries on the high risk investment. Large amount of assets were directly shifted to the executives by great salaries scale, while the executives could not protect the shareholders benefit after obtaining the salary instead of protect their own benefit in the crisis. Therefore, agent relations have not been improved. All in all, the key points of executives compensation system should be: establishing perfect pay supervision system and suitable executives performance evaluation system. At the same time, the short-term and long-term interests should be taken to proper attention.
Goldman Brothers Senior Ezecutive Compensation Incentive Mechanism
ZHANG Qiaozhi ZHOU Qingjie
School of Economics, Beijing Business and Technology University, P.R.China, 100048
国际会议
The 5th International Sympsium for Corporate Governance(第五届公司治理国际研讨会)
天津
英文
1709-1722
2009-09-01（万方平台首次上网日期，不代表论文的发表时间）