Myths and realities of executive pay

"The executive pay model used widely in the United States is essential both to the continued success of companies and to the U.S. economy itself. The successful application of this model, which is built on the foundation of pay-for-performance, has helped create an economic juggernaut, resulting in trillions of dollars of wealth for shareholders and substantial income and net worth for millions of corporate employees and their families. High executive pay simply reflects the strong demand for top talent and can only be evaluated with consideration of the performance that leads to high pay. Yet, myths of a failed model still abound, perpetuated by occasional excesses, recent corporate scandals, and controversy over the use of stock options. This book documents the realities of executive compensation by investigating the extent to which the pay-for-performance model governs executive pay levels. It also assesses the relative success of this model in creating value for shareholders and robust job growth for U.S. employees and provides detailed, real-world guidance for designing and executing effective executive compensation plans. Based on extensive empirical research and decades of direct experience in the field, Myths and Realities of Executive Pay settles the debate about executive compensation and the role it plays in the broader U.S. economy."--Jacket.