Some companies compensate their CEOs (and some senior executives) with stock issued at the end of the year, in addition to a regular salary. The idea is that the CEO is better incentivized to serve the interests of the shareholders by ensuring the price of the stock increases. What might be some unintended consequences of this plan?

Answer rating: 100% (QA)

While compensating CEOs with stock can align their interests with shareholders in terms of increasin... View the full answer