The invisible hand in action

Best-paid CEOs perform the worst.

The authors carefully document that the highest-paid executives in the 1,500 companies with the biggest market cops from 1994-2013 perform the worst, and that the higher a CEO’s pay, the more likely it is that he’ll perform worse than his low-paid colleagues. The effect was most pronounced in the 150 highest-paid CEOs“.

Meritocracy mon derriére (as a tribute to Piketty).

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