Foreign competition and executive compensation in the manufacturing industry - a comparison between Germany and the U.S.


Dyballa, Katharina ; Kraft, Kornelius


[img]
Preview
PDF
dp18034.pdf - Published

Download (370kB)

URL: https://ub-madoc.bib.uni-mannheim.de/46606
URN: urn:nbn:de:bsz:180-madoc-466061
Document Type: Working paper
Year of publication: 2018
The title of a journal, publication series: ZEW Discussion Papers
Volume: 18-034
Place of publication: Mannheim
Publication language: English
Institution: Sonstige Einrichtungen > ZEW - Leibniz-Zentrum für Europäische Wirtschaftsforschung
MADOC publication series: Veröffentlichungen des ZEW (Leibniz-Zentrum für Europäische Wirtschaftsforschung) > ZEW Discussion Papers
Subject: 330 Economics
Classification: JEL: F16 , F14 , G30 , J33,
Keywords (English): fForeign competition , outsourcing , managerial incentives , international comparison , system GMM
Abstract: In this study we use import penetration as a proxy for foreign competition in order to empirically analyze (1) the impact of foreign competition on managerial compensation, (2) differences in the impact between Germany and the U.S. and (3) whether the impact of import penetration is driven by implied efficiency effects. We use data from the manufacturing industry covering the period from 1984-2010 for Germany respectively 1992-2011 for the U.S. and apply system GMM in order to solve potential endogeneity problems. It turns out that foreign competition leads to an increase of average per capita executive compensation in both countries. The impact of foreign competition on payperformance sensitivity differs between the U.S. and Germany. A differentiation between imported intermediates (efficient sourcing strategy) and final inputs (competition) reveals that the impact of import penetration is not biased by efficiency effects.

Das Dokument wird vom Publikationsserver der Universitätsbibliothek Mannheim bereitgestellt.




+ Citation Example and Export

Dyballa, Katharina ; Kraft, Kornelius (2018) Foreign competition and executive compensation in the manufacturing industry - a comparison between Germany and the U.S. Open Access ZEW Discussion Papers Mannheim 18-034 [Working paper]
[img]
Preview


+ Search Authors in

+ Download Statistics

Downloads per month over past year

View more statistics



You have found an error? Please let us know about your desired correction here: E-Mail


Actions (login required)

Show item Show item