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A nice thread👇 on @mikeanton13 and @ABrownback’s paper—newly out in Games and Economic Behavior🎉—using a lab experiment to understand how principals’ pay for luck and effort. 1/4 @mikeanton13/1159592198112813056
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I learned about the paper from a cool thread that @jnaecker did on it a few months ago. 2/4 @jnaecker/1110714509230927872
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Obviously pay-for-luck questions have a long tradition in the executive compensation literature, and it was fun for this Twitter serendipity to help me find a connection between the experimental evidence and my work on earnings management. 3/4 @lukestein/1111026250980581376