Effect of executive compensation on firm performance

The paper finds evidence that the equity-based CEO pay is positively related to firm performance and risk-taking. Both stock price and operating performance as well as firm's riskiness increase in the pay-performance sensitivities (PPS) provided by CEO stock options and stock holdings. PPS can explain stock returns better as an additional factor to the Fama-French 3-factor model. When CEOs are compensated with higher PPS, firms experience higher return on asset (ROA). The higher PPS also leads to the higher risk-taking. While CEO incentive compensation has been perceived mixed on its effectiveness, this study provides support to the equity-based CEO compensation in reducing agency conflicts between CEOs and shareholders.

Development of techniques for testing the effect of the E1 region on adenovirus integration /

Adenoviral vectors are currently the most widely used gene therapeutic vectors, but their inability to integrate into host chromosomal DNA shortened their transgene expression and limited their use in clinical trials. In this project, we initially planned to develop a technique to test the effect of the early region 1 (E1) on adenovirus integration by comparing the integration efficiencies between an E1-deleted adenoviral vector (SubE1) and an Elcontaining vector (SubE3). However, we did not harvest any SubE3 virus, even if we repeated the transfection and successfully rescued the SubE1 virus (2/4 transfections generated viruses) and positive control virus (6/6). The failure of rescuing SubE3 could be caused by the instability of the genomic plasmid pFG173, as it had frequent intemal deletions when we were purifying It. Therefore, we developed techniques to test the effect of E1 on homologous recombination (HR) since literature suggested that adenovirus integration is initiated by HR. We attempted to silence the E1 in 293 cells by transfecting E1A/B-specific small interfering RNA (siRNA). However, no silenced phenotype was observed, even if we varied the concentrations of E1A/B siRNA (from 30 nM to 270 nM) and checked the silencing effects at different time points (48, 72, 96 h). One possible explanation would be that the E1A/B siRNA sequences are not potent enough to Induce the silenced phenotype. For evaluating HR efficiencies, an HR assay system based on bacterial transfonmatJon was designed. We constmcted two plasmids ( designated as pUC19-dl1 and pUC19-dl2) containing different defective lacZa cassettes (forming white colonies after transformation) that can generate a functional lacZa cassette (forming blue colonies) through HR after transfecting into 293 cells. The HR efficiencies would be expressed as the percentages of the blue colonies among all the colonies. Unfortunately, after transfonnation of plasmid isolated from 293 cells, no colony was found, even at a transformation efficiency of 1.8x10^ colonies/pg pUC19, suggesting the sensitivity of this system was low. To enhance the sensitivity, PCR was used. We designed a set of primers that can only amplify the recombinant plasmid fomied through HR. Therefore, the HR efficiencies among different treatments can be evaluated by the amplification results, and this system could be used to test the effect of E1 region on adenovirus integration. In addition, to our knowledge there was no previous studies using PCR/ Realtime PCR to evaluate HR efficiency, so this system also provides a PCR-based method to carry out the HR assays.

Exploring the impact of outgroup membership discoveries on individual outcomes and intergroup relations

Group memberships represent important components of identity, with people holding membership in various groups and categories. The groups that one belongs to are known as ingroups, and the groups that one does not belong to are known as outgroups. Movement between groups can occur, such that an individual becomes a member of a former outgroup. In some cases, this movement between groups can represent a sudden discovery for the self and/or others, especially when one becomes a member of an ambiguous, concealable, or otherwise not readily visible group. The effects of this type of movement, however, are poorly documented. The purpose of this dissertation is to investigate these outgroup membership discoveries, examining the individual intrapsychic, interpersonal, and potential intergroup effects of both self- and other-outgroup membership discoveries. Specifically, discoveries of homosexuality were examined in three studies. In Study 1, hypothetical reactions to self- and other-homosexuality discovery were assessed; in Study 2, the effects of discovering self-homosexuality (vs. self-heterosexuality) were experimentally examined; and in Study 3, the effects of discovering another’s homosexuality earlier relative to later in a developing friendship were experimentally examined. Study 1 revealed that, upon a discovery of self-homosexuality, participants expected negative emotions and a more negative change in feelings toward the self. Upon a discovery of a friend’s homosexuality, participants expected a more negative change in feelings toward the friend, but more a positive change in feelings toward homosexuals. For both hypothetical self- and friend- homosexuality discoveries, more negative expected emotions predicted more negative expected change in feelings toward the target individual (the self or friend), which in turn predicted more negative expected change in feelings toward homosexuals as a group. Further, for self-homosexuality discovery, the association between negative expected emotions and negative expected change in feelings toward the self was stronger among those higher in authoritarianism. Study 2 revealed that, upon discovering one’s own homosexuality (vs. heterosexuality), heterosexual participants experienced more negative emotions, more fear of discrimination, and more negative self-evaluations. The effect of the homosexuality discovery manipulation on negative self-evaluations was mediated by fear of discrimination. Further, those higher in authoritarianism or pre-test prejudice toward homosexuals demonstrated more negative emotions following the manipulation. Study 3 revealed that upon discovering an interaction partner’s homosexuality earlier (vs. later) participants reported a more positive contact experience, a closer bond with the partner, and more positive attitudes toward the partner. Earlier (vs. later) discovery predicted more positive contact experience, which in turn predicted a closer bond with the partner. Closer bond with the partner subsequently predicted more positive evaluations of the partner. Interestingly, the association between bond with partner and more positive attitudes toward the partner was stronger among those higher in authoritarianism or pre-test prejudice toward homosexuals. Overall, results suggest that self-homosexuality discovery results in negative outcomes, whereas discovering another’s homosexuality can result in positive outcomes, especially when homosexuality is discovered earlier (vs. later). Implications of these findings for both actual outgroup membership discoveries and social psychological research are discussed.

Subliminal Exposure to Empathy Primes: A New Method to Reduce Intergroup Bias?

An abundant literature has demonstrated the benefits of empathy for intergroup relations (e.g., Batson, Chang, Orr, & Rowland, 2002). In addition, empathy has been identified as the mechanism by which various successful prejudice-reduction procedures impact attitudes and behaviour (e.g., Costello & Hodson, 2010). However, standard explicit techniques used in empathy-prejudice research have a number of potential limitations (e.g., resistance; McGregor, 1993). The present project explored an alternative technique, subliminally priming (i.e., outside of awareness) empathy-relevant terms (Study 1), or empathy itself (Study 2). Study 1 compared the effects of exposure to subliminal empathy-relevant primes (e.g., compassion) versus no priming and priming the opposite of empathy (e.g., indifference) on prejudice (i.e., negative attitudes), discrimination (i.e., resource allocation), and helping behaviour (i.e., willingness to empower, directly assist, or expect group change) towards immigrants. Relative to priming the opposite of empathy, participants exposed to primes of empathy-relevant constructs expressed less prejudice and were more willingness to empower immigrants. In addition, the effects were not moderated by individual differences in prejudice-relevant variables (i.e., Disgust Sensitivity, Intergroup Disgust-Sensitivity, Intergroup Anxiety, Social Dominance Orientation, Right-wing Authoritarianism). Study 2 considered a different target category (i.e., Blacks) and attempted to strengthen the effects found by comparing the impact of subliminal empathy primes (relative to no prime or subliminal primes of empathy paired with Blacks) on explicit prejudice towards marginalized groups and Blacks, willingness to help marginalized groups and Blacks, as well as implicit prejudice towards Blacks. In addition, Study 2 considered potential mechanisms for the predicted effects; specifically, general empathy, affective empathy towards Blacks, cognitive empathy towards Blacks, positive mood, and negative mood. Unfortunately, using subliminal empathy primes “backfired”, such that exposure to subliminal empathy primes (relative to no prime) heightened prejudice towards marginalized groups and Blacks, and led to stronger expectations that marginalized groups and Blacks improve their own situation. However, exposure to subliminal primes pairing empathy with Blacks (relative to subliminal empathy primes alone) resulted in less prejudice towards marginalized groups and more willingness to directly assist Blacks, as expected. Interestingly, exposure to subliminal primes of empathy paired with Blacks (vs. empathy alone) resulted in more pro-White bias on the implicit prejudice measure. Study 2 did not find that the potential mediators measured explained the effects found. Overall, the results of the present project do not provide strong support for the use of subliminal empathy primes for improving intergroup relations. In fact, the results of Study 2 suggest that the use of subliminal empathy primes may even backfire. The implications for intergroup research on empathy and priming procedures generally are discussed.