Variable types	Variable name	Variable symbol	Variable definition and calculation method
Explained variable	Return on equity	Roe	Lagged one-period weighted average return on equity excluding non-recurring gains and losses.
Explained variable	Earnings per share	Eps	Lagged one-period basic earnings per share after deducting non-recurring gains and losses.
Explanatory variables	Incentive intensity of core employees	Inc	Core employee equity/total share capital of the company on that day.
Explanatory variables	Importance of core employees	Ratio	This incentive core employee rights/this executive incentive.
Control variables	Incentive mode	Type	This is a dummy variable. Where 0 represents options and 1 represents restricted stock.
	Length of validity	Term	Length of validity period of equity incentive.
	Total compensation of the top three executives	Lntop 3	Ln (Total remuneration of the top three executives + 1).
	Top five ownership concentration	Top 5	Shareholding ratio of the top five shareholders.
	The joining together of chairman and manager	Position	The dummy variable is marked as 1 if the chairman and general manager are the same person, and 0 if they are not.
	The separation rate of the two rights of the actual controller	Sep 1	Refers to the control right—ownership of the controller of a listed company.
	Equity balance degree	Balance	Shares of the 2 - 5 shareholders/shares held by the largest shareholder.
	The company size	Size	Ln (Total assets at year-end + 1).
	Financial leverage	Lev	Total liabilities at year-end/total assets at year-end.
	Book to market ratio	Bm	Ln (Total assets/market value + 1).
	Nature of the company	State	Dummy variables, marked 1 for state ownership and 0 for private ownership.