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Keywords: Alignment incentive hypothesis
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Journal Articles
Corporate Governance (2012) 12 (1): 54–70.
Published: 17 February 2012
... firm performance. Lambert et al. (1991) and Carpenter (2000) find that stock options create incentives to reduce firm risk. Like the alignment incentive hypothesis, the managerial power hypothesis is based on the existence of conflict of interests between shareholders and managers...

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