Executives’ Pay Increased Due to Publications of their Peers’ Pay
Topic: How business executives are influenced by their peers’ pay
Main Conclusion: Business executives pay was increased due to SEC regulation to disclose executives’ pay
In 1993 SEC dictated the disclosure of business executives pay in public companies. The average CEO compensation was 131 times higher than the average US employee.
In 2008, this same ratio grew to almost 1:400.