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Executive Pay Regulation: What Regulators, Shareholders, and Managers Can Learn from Major Sports Leagues

Published online by Cambridge University Press:  20 January 2017

Helmut M. Dietl ,
Tobias Duschl  and
Markus Lang
Helmut M. Dietl
Affiliation:
University of Zurich
Tobias Duschl
Affiliation:
University of Zurich
Markus Lang
Affiliation:
University of Zurich
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Abstract

Executive pay regulation is widely discussed as a measure to reduce financial mismanagement in corporations. We show that the professional team sports industry, the only industry with substantial experience in the regulation of compensation arrangements, provides valuable insights for the regulation of executive pay. Based on the experience from professional sports leagues, we develop implications for the corporate sector regarding the establishment and enforcement of executive pay regulation as well as the level, structure, and rigidity of such regulatory measures.

Keywords

pay regulationsalary capsluxury taxessports economicsprofessional sports leaguesregulationlabor market intervention
Type
Research Article
Information
Business and Politics , Volume 13 , Issue 2 , August 2011 , pp. 1 - 30
Copyright
Copyright © V.K. Aggarwal 2011 and published under exclusive license to Cambridge University Press 

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