The second in a series of six volumes containing a selection of Joseph Stiglitz's most important and widely cited work. Volume I set out the basic concepts underlying the economics of information. Volume II extends these concepts and applies them to a number of different settings in labour, capital, and product marketsThey make it clear that the interests of the firm and its workers are not totally divergent.31 It is curious that incentive ... The question the shareholders should be concerned with, in deciding whether to give stock options, is how much do they have to give up, after tax, ... Thus, the shareholder, by paying wages, can give the manager $2 in aftertax income for every dollar in after-tax income that he gives up.
|Title||:||Selected Works of Joseph E. Stiglitz|
|Author||:||Joseph E. Stiglitz|
|Publisher||:||Oxford University Press - 2013-02-28|