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dc.contributor.supervisor Carnaghan, Carla
dc.contributor.supervisor Nelson, Toni Geremia, Karrie 2012-05-10T20:37:44Z 2012-05-10T20:37:44Z 2010
dc.description x, 106 leaves : ill. ; 29 cm en_US
dc.description.abstract Existing research findings are mixed on whether increased executive stock option (ESO) use is due to favorable accounting treatment enabling earnings management (EM) and opportunism, or to efforts to improve pay for performance. I investigate executive compensation changes in 215 Canadian companies for the years surrounding the amendment to Handbook Section 3870, which requires expensing of ESOs. I find that while ESO use was reduced, ESOs still dominate share-based compensation. Of the opportunism and EM antecedents examined, only political visibility is significant. The substitution rate of RSUs for ESOs is more equal post-amendment, in keeping with firms being more willing to use RSUs once ESOs had to be expensed. However, the pay for performance relationship has not improved post-amendment, even for firms who most reduced ESO use. My results overall provide little support for opportunism or EM being a key driver of increased ESO use prior to the amendment. en_US
dc.language.iso en_US en_US
dc.publisher Lethbridge, Alta. : University of Lethbridge, Faculty of Management, c2010 en_US
dc.relation.ispartofseries Project (University of Lethbridge. Faculty of Arts and Science) en_US
dc.subject Compensation management -- Canada en_US
dc.subject Earnings management -- Canada en_US
dc.subject Merit pay -- Canada en_US
dc.subject Executives -- Salaries, etc. -- Canada en_US
dc.subject Executives -- Salaries, etc. -- Law and legislation -- Canada en_US
dc.subject Restricted stock options -- Canada en_US
dc.title Exploring changes in management compensation structure in Canada : evidence on the consequences of section 3870 en_US
dc.type Thesis en_US
dc.publisher.faculty Management en_US

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