CEO Compensation as Tournament and Social Comparison: A Tale of Two Theories

The authors gratefully acknowledge the helpful criticisms and comments of Glenn Carroll, Ron Ehrenberg, Edward Lazear, David Levine, George Milkovich, Jeffrey Pfeffer, and Frances Van Loo on an earlier version of this manuscript. We also acknowledge the help of Jim Wade in data collection and analysis and the Institute of Industrial Relations for research support. Obviously, all errors in the paper remain those of the authors. This study...