Corporate Governance and Executive Compensation

Executive compensation is one of the most important issues on corporate governance;however,little research has studied the impact of corporate governance on executive compensation.Based on agency theory,this paper studies the impact of corporate governance on executive compensation.The result finds that there are positive relationship between the board size,the ratio of independence director,CEO ownership,firm size,firm performance and executive compensation;the ratio of national share is negatively related to executive compensation;the relationship between ownership concentration executive compensation is U shape;and CEO duality has no significant influence on executive compensation.