The negative effects of common ownership on competition have received significant attention, but many proposed mechanisms for institutional investor influence seem implausible. We develop and test an analytical model of optimal compensation in an oligopoly with common ownership, focusing on...

A 2006 rule change mandated that publicly traded companies provide more detailed disclosures about executives' compensation plans. In response to the new disclosure requirements, Cournot firms with large market shares add revenue-based pay to their CEOs' pay packages. This change in pay...