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Submitted by A skeptical observer on
How much confidence should we have that the research accurately measures the degree to which a CEOs’ interests are actually aligned with those of bank shareholders? This seems like an extraordinarily complex and nuanced notion that must be based on the details associated with each CEO contract within the context of each bank. Without questioning any of the econometrics, can we really measure the extent to which incentives are aligned across so many different banks and CEOs?