Political lobbying, insider trading, and CEO compensation

被引：7

作者：

Brodmann, Jennifer ^{[1
]}

Unsal, Omer ^{[2
]}

Hassan, M. Kabir ^{[3
]}

机构：

[1] Calif State Univ Dominguez Hills, Dept Accounting Finance & Econ, 1000 E Victoria St, Carson, CA 90747 USA

[2] Merrimack Coll, Girard Sch Business, 315 Turnpike St, N Andover, MA 01845 USA

[3] Univ New Orleans, Dept Econ & Finance, Kirschman Hall,2000 Lakeshore Dr, New Orleans, LA 70148 USA

来源：

INTERNATIONAL REVIEW OF ECONOMICS & FINANCE | 2019年 / 59卷

关键词：

Insider trading; Political lobbying; Firm performance; STOCK OPTION AWARDS; FIRM PERFORMANCE; CONNECTED BOARDS; RESTRICTIONS; STRATEGY;

D O I：

10.1016/j.iref.2018.10.020

中图分类号：

F8 [财政、金融];

学科分类号：

0202 ;

摘要：

In this study, we determine why CEOs from lobbying firms receive higher pay compared to their non-lobbying peers. We investigate whether insider trading can explain high CEO pay. Using hand-collected firm-level lobbying data, we examine whether CEOs from lobbying firms engage in insider trading after sponsored bills are introduced and passed in the U.S. Congress. Our results show that the number of CEO stock transactions from lobbying firms correlates with bills being passed, which yields higher compensation packages. In addition, we find that lobbying benefits firm performance. Lobbying firms receive more government contracts, which increases firm value. Overall, lobbying benefits both CEOs and shareholders.

引用

页码：548 / 565

页数：18

共 50 条

[31] Executive compensation, individual-level tax rates, and insider trading profits
Goldman, Nathan C.
Ozel, Naim Bugra
[J]. JOURNAL OF ACCOUNTING & ECONOMICS, 2023, 76 (01):
[32] A Case Study of Illegal Insider Trading - The Scandal of Vultures' Insider Trading
Huang, Yu Chuan
Chan, Shu Hui
[J]. REVIEW OF PACIFIC BASIN FINANCIAL MARKETS AND POLICIES, 2011, 14 (01) : 81 - 99
[33] Insider trading and the algorithmic trading environment
Chang, Millicent
Gould, John
Huang, Yuyun
Treepongkaruna, Sirimon
Yang, Joey Wenling
[J]. INTERNATIONAL REVIEW OF FINANCE, 2022, 22 (04) : 725 - 750
[34] Legislative political connections and CEO compensation in China
Russell Fralich
Hong Fan
[J]. Asian Business & Management, 2018, 17 : 112 - 139
[35] Legislative political connections and CEO compensation in China
Fralich, Russell
Fan, Hong
[J]. ASIAN BUSINESS & MANAGEMENT, 2018, 17 (02) : 112 - 139
[36] Insider trading, equity issues, and CEO turnover in firms subject to securities class action
Niehaus, G
Roth, G
[J]. FINANCIAL MANAGEMENT, 1999, 28 (04) : 52 - 72
[37] Indirect Insider Trading
Goldie, Brad
Jiang, Chao
Koch, Paul
Wintoki, M. Babajide
[J]. JOURNAL OF FINANCIAL AND QUANTITATIVE ANALYSIS, 2023, 58 (06) : 2327 - 2364
[38] The Cultures of Insider Trading
Statman, Meir
[J]. JOURNAL OF BUSINESS ETHICS, 2009, 89 : 51 - 58
[39] REFLECTIONS ON INSIDER TRADING
CRUSTO, MF
[J]. SLOAN MANAGEMENT REVIEW, 1987, 29 (01): : 5 - 5
[40] IS INSIDER TRADING THEFT
KARLBLOM, RS
[J]. FORTUNE, 1981, 104 (03) : 89 - 89

← 1 2 3 4 5 →