Article: A reply from the author. (response to articles by Abraham Zalesnik, Robert Stobaugh, Charles M. Elson, James E. Marley, Barbara Hackman Franklin, Richard H. Koppes, Leslie Levy and Robert Salwen in this issue; pp. 30, 33, 34, 36, 37, 38, 41)

Proponents of Alignment emphasize the character of compensation. I emphasize the character of the director. My original article did not so much affirmatively urge cash compensation as demonstrate that the current obsession with Alignment is misguided. For Hamlet, "the readiness is all"; for corporate directors, it is character and judgment - not the form of compensation - that should be "all."

Prof. Elson asserts that (a) in order to "incentivize" outside directors to fulfill their obligations, they "must" become substantial shareholders, and (b) stock compensation will "energize previously passive boards" and "create effective oversight and performance." These ...

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