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The curious case of one-dollar CEO salaries:...
Journal article

The curious case of one-dollar CEO salaries: evidence from market reaction to salary decision announcements

Abstract

Purpose This study investigates the motivations for and compensation structure changes behind $1 CEO salary decisions. Design/methodology/approach Using a hand-collected sample, we relied on an event study framework and regression analysis to decipher the informational content of $1 CEO salary announcements. Findings The results show that the market reacts positively to $1 CEO salary announcements that indicate aligning the interests of …

Authors

Danielova A; Liao W-J

Journal

International Journal of Managerial Finance, Vol. 21, No. 3, pp. 667–692

Publisher

Emerald

Publication Date

May 15, 2025

DOI

10.1108/ijmf-10-2023-0485

ISSN

1743-9132