Asset Details

  • Description:
  • Executive Compensation and Size of the Top 500 FirmsNotes. In 2010, we take the top 500 US‐based firms by total firm value with non‐missing data on CEO compensation, order them by size, S(1)≥S(2)≥…≥S(500) and plot ln S on the horizontal axis and ln(Rank−1/2) on the vertical axis. Gabaix and Ibragimov () recommend the −(1/2) term and show that it removes the leading small sample bias. Regressing ln(Rank−(1/2))=−ζln(S)+constant yields a Pareto exponent ζ = 0.915 (SE 0.057), R2=0.99. ζ close to 1 is indicative of an approximate Zipf's law for firm total value.
  • License:
  • Rights Managed
  • Rights Holder:
  • John Wiley & Sons, Inc.
  • License Rights Holder:
  • Copyright © 2014 Royal Economic Society (Registered Charity No. 231508)
  • Asset Type:
  • Image
  • Asset Subtype:
  • Chart/Graph
  • Image Orientation:
  • Landscape
  • Image Dimensions:
  • 622 x 445
  • Image File Size:
  • 43.8 KB
  • Creator:
  • Xavier Gabaix, Augustin Landier, Julien Sauvagnat
  • Credit:
  • Gabaix, X., Landier, A., & Sauvagnat, J. (2014). CEO Pay and Firm Size: An Update After the Crisis. The Economic Journal, 124(574), F40-F59..
  • Collection:
  • Keywords:
  • Restrictions:
  • Property Release:
  • No
  • Model Release:
  • No
  • Purchasable:
  • Yes
  • Sensitive Materials:
  • No
  • Article Authors:
  • Xavier Gabaix, Augustin Landier, Julien Sauvagnat
  • Article Copyright Year:
  • 2014
  • Publication Volume:
  • 124
  • Publication Issue:
  • 574
  • Publication Date:
  • 02/01/2014
  • DOI:

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