Publication series

Management Compensation in the Netherlands: Theory, Evidence, and Best Practice


Volume: 4 Topics in Corporate Finance

Author(s): Todd T. Milbourn

Year: 2001

ISBN: 90-805728-4-5

Price: € 12.50

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Management compensation is the subject of intense debate both in academics and in the popular media. Many groups - including labor unions, shareholders and government officials - claim that top executives are paid excessively. But is this the case? And, even if so, is the Dutch practice not merely dictated by international development?

This publication of the Amsterdam Center for Corporate Finance sheds light on the ongoing debate. Professor Todd Milbourn evaluates the Dutch practice and draws policy implications. Hereto he provides an overview of the theoretical underpinnings of management compensation as well as a discussion of the empirical evidence. Milbourn concludes that management compensation contracts should include a significant pay for performance element. However, many factors affect the optimal level and design of incentives given to management. Balancing the mix of fixed and variable pay is an extremely important yet delicate issue.

Milbourn shows that management pay in the Netherlands has converged to international practices over the last couple of years. However, design and implementation deserve further scrutiny. Several policy implications for the Netherlands conclude this report.


Publications Topics in Corporate Finance

VolumeYearAuthorTitlePrice
302023D. Bezemer, K. Cools, A. BootOndernemingsbeleid in een wereld van financialisering€ 20.00
292021A.J. Menkveld, G. Vuillemey, M.P. Schinkel, T. Klein and othersPerspectives on Central Clearing and Competition Policy€ 20.00
282020R. de Weijs, A. Jonkers & A. Boot et al.Perspectives on Leveraged Finance and Fintech€ 20.00
272019Dirk Schoenmaker, Rens van Tilburg, Elisa Achterberg and Max van SonSustainable Finance and Government Policy€ 20.00
262018Arnoud W.A. Boot, Jeroen E. Ligterink and Jens K. MartinUnderstanding Fintech and Private Equity€ 20.00
252017Jeroen E. Ligterink en Jens K. MartinPrivate equity: waardecreatie, herverdeling en excessen€ 20.00
242015Tanju YorulmazerUnderstanding the Crisis: Bank Funding Structures as Source of Instability€ 20.00
232014Anat R. AdmatiTowards a Better Understanding of the Capitalization of Banks€ 20.00
222013Arnoud W.A. BootTransactiemaatschappij en financiële markten: op zoek naar een nieuwe balans€ 20.00
212012Lans BovenbergMacro-oplossingen gezocht: naar integrale oplossingen voor de onevenwichtigheden in wonen, pensioen, ouderenzorg en het bancaire landschap€ 20.00
202011Paul De Grauwe and Arnoud W.A. BootTowards a Fundamental Resolution of the Eurocrisis€ 20.00
192010David T. LlewellynThe Global Banking Crisis and the Post-Crisis Banking and Regulatory Scenario€ 20.00
182010Ludovic PhalippouRegulating Private Equity€ 20.00
172009Frank Partnoy, Arnoud W.A. Boot and Anjan V. ThakorTowards a Fundamental Understanding of Financial Sector Developments€ 20.00
162008Arnoud W. A. BootCorporate finance theorie en financiële crisis in breder perspectief € 20.00
152007Arnoud W.A. Boot, meerdere auteursPrivate equity en aandeelhoudersactivisme€ 20.00
142007X. Vives and V. Strauss-KahnHeadquarters and innovation: does location matter? € 20.00
132006L. Bouchez, M. Knubben, J.A. McCahery and L. Timmerman (eds)The Quality of Corporate Law and the Role of Corporate Law € 20.00
122005J. McCahery and E. VermeulenUnderstanding (Un)incorporated Business Forms € 20.00
112005D. Cumming, G. Fleming and A. SchwienbacherRecent research on the investment behavior of private equity fund managers€ 20.00
102005M.J.G.C. Raaijmakers, G. van Solinge en P. Frentrop Corporate governance: een agenda voor de toekomst€ 20.00
92004Amar BhidéEntrepreneurship and Venture Capital€ 20.00
82004V. Maksimovic, D. Brounen, A. de Jong and K. KoedijkPerspectives on the Theory and Practice of Corporate Finance € 20.00
72003J.J.A. LeenaarsSecuritisatie: Economics en Europees Perspectief€ 20.00
62003U. BhattacharyaGlobal Corporate Governance and Accounting Transparency € 20.00
52002A. Saunders and A. SchmeitsThe Role of Bank Funding for the Corporate Sector: the Netherlands in an International Perspective € 20.00
42001Todd T. MilbournManagement Compensation in the Netherlands: Theory, Evidence, and Best Practice € 12.50
32000A.W.A. Boot and J.E. LigterinkDe Efficiëntie van de Nederlandse Faillissements€ 15.00
22000E.I. Altman and A. Saunders, and A.W.A. Boot, T. Milbourn, and S. DezelanPerspectives on the Regulation of the Financial Services Industry € 12.50
11999I. Walter and A.W.A. BootThe Future of Banking: Two Essays on the Consolidation in the Financial Sector€ 15.00