The Optimality Of Resetting Executive Stock Options And The Value Of Resettable Executive Stock Options

The present dissertation is concerned with the optimality of the repricing of executive stock options and the value of resettable executive stock options. The contents of the dissertation include:(1) We respectively discuss the economic cost of non-resettable executive stock options to the company and the economic value of them to the executive, by using the Black-Scholes option pricing model and the certainty-equivalence model;(2) We discuss the optimality of the repricing of executive stock options by establishing an equilibrium contracting model;(3) We respectively discuss the economic cost of resettable executive stock options to the company and the economic value of them to the executive, by using the Black-Scholes option pricing model and the certainty-equivalence model.