Director Excess Compensation and Investment Efficiency: The Economic Role of Accounting

Bilal Al Dah, Mustafa Dah, Mostafa Harakeh, Gerald J. Lobo, School of Accounting , Kean University, Finance and Accounting Department, Lebanese American University, Olayan School of Business, American University of Beirut, Department of Accountancy , Bauer College of Business, University of Houston

Journal of Accounting, Auditing & Finance

Published online on June 02, 2025

Abstract

Journal of Accounting, Auditing & Finance, Ahead of Print.
We examine the relation between director excess compensation and corporate investment efficiency, and the role of accounting quality in this association. We utilize a cost-minimization stochastic frontier approach to estimate director excess compensation. ...