The aim of the paper is to present the development stages of the executive directors' remuneration. The focus is on the components of remuneration and, to a lesser extent, on its value. The executive directors are the object of paper.
The results of the paper set ten stages for the period 1910-2100's. The dynamics of remuneration reflects the social expectations of a correlation between the results achieved and the compensation of the executive directors. A good structured remuneration policy reduces agency conflict by aligning the agent and principal interests by offering shares and stock options.

Key words

corporate governance, principal-agent, remuneration

JEL Codes: G34, H32


Неделчев, М. (2013). Политики за възнаграждение на банкови мениджъри: международни и европейски тенденции. В: Сборник доклади от юбилейна международна научна конференция 10-11.05.2013 г., гр. Велико Търново. ВТУ, В. Търново, стр. 65-70.
Савов, Н. (1915). Застраховката за живот и застрахователното дело в България. Списание на Българското икономическо дружество, кн. 5-6, с. 339.
Anantharaman, D., V. Fang Guojin Gong. (2014). Inside Debt and the Design of Corporate Debt Contracts. Management Science, 60, 5, 1260-1280.
Bebchuk, L., J. Fried. (2005). Pay Without Performance: Overview of the Issues. Journal of Applied Corporate Finance, 17, 4, 8–23.
Brischoux, M. (2010). De l autocratie manageriale: Comment expliquer la remuneration des dirideants. Debat. P., N 161, 65-73.
Conyon, M., J. Schwalbach. (1997). European differences in executive pay and corporate governance. Humboldt-Universität zu Berlin, Nr. 97-7.
Frydman, C., D. Jenter. (2010). CEO compensation. Annual Review of Financial Economics, 2, 75–102.
Frydman, C., R. Saks. (2005). Historical Trends in Executive Compensation, 1936-2003. Harvard University, Working Paper.
Gerakos, J. (2007). CEO pensions: disclosure, executive power, and optimal contracting. Working Paper, Wharton School.
Goldin, C., R. Margo. (1992). The Great Compression: The Wage Structure in the United States at Mid-Century. Quarterly Journal of Economics, 107 (February), 1-34.
Houston, J., C. James. (1992). Managerial ownership, turnover and risk-taking in banking. Working paper, University of Florida.
John, K., H. Mehran, Y. Qian. (2003). Regulation, Subordinated Debt and Incentive Features of CEO Compensation in the Banking Industry. Federal Reserve Bank of Chicago.
Samuelson, P., W. Nordhaus. (1985). Economics. 12th edition, McGraw-Hill, NY.
Savarese, K. (2010). “Perverting Civilization” or Pursuing Dreams? Economic Arguments about Executive Compensation Practices in the United States, 1890 to 1940. Harvard.
Shleifer, A., R. Vishny. (1986). Large Shareholders and Corporate Control. Journal of Political Economy, 94, 3, 461-488.
Smith, C., R. Watts. (1992). The investment opportunity set and corporate financing, dividend, and compensation policies. Journal of Financial Economics, 32, 3, 263-292.

Full Text: PDF (Bulgarian)