The relationship between compensation committee quality and the voluntary adoption of clawback provisions
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Author(s)Hui-Wen HsuLink to ORCID Index: https://orcid.org/0000-0002-4786-1532
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Liu-Ching TsaiLink to ORCID Index: https://orcid.org/0000-0002-5017-3802
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Chaur-Shiuh YoungLink to ORCID Index: https://orcid.org/0000-0003-3874-7663
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Chia-Hui ChenLink to ORCID Index: https://orcid.org/0000-0001-8440-3410
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DOIhttp://dx.doi.org/10.21511/imfi.15(4).2018.28
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Article InfoVolume 15 2018, Issue #4, pp. 345-355
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This paper examines how compensation committee quality is related to the voluntary adoption of clawback provisions. Because fair value information has some reliability issues, this paper further examines whether the amount of Level 3 fair values affect the relationship between compensation committee quality and the voluntary adoption of clawback provisions. Using a sample drawn from the U.S. firms from 2008 to 2015, the results show that the compensation committee quality is positively related to the voluntary adoption of clawback provisions. Additionally, the positive relationship between compensation committee quality and the voluntary adoption of clawback provisions is more pronounced for firms with higher Level 3 fair values.
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- Keywords
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JEL Classification (Paper profile tab)G34, J33, M41
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References47
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Tables3
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Figures0
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- Table 1. Descriptive statistics
- Table 2. Correlation analysis
- Table 3. Model of clawback adoption
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