Corporate Social Responsibility and Compensational Incentives
Date
2015-09-29
Authors
Journal Title
Journal ISSN
Volume Title
Publisher
ORCID
Type
Degree Level
Masters
Abstract
We construct a measure of CEO concern for non-equity stakeholders based on corporate social responsibility (CSR) scores, and we investigate how such incentives affect firm leverage and cash holding. In general, we find that non-equity stakeholder incentives decrease leverage and increase cash holding, after controlling for CEO managerial incentives and other firm characteristics. Our findings suggest that corporate social responsibility benefit non-equity stakeholders, which may come at the expense of shareholders.
Description
Keywords
Managerial incentives, Corporate social responsibility, Shareholder interests, Non-equity stakeholder
Citation
Degree
Master of Science (M.Sc.)
Department
Edwards School of Business
Program
Finance