Variable name | Explanation |

IE1 | Innovation efficiency in the first year |

IE2 | Innovation efficiency in the next two years |

IE3 | Innovation efficiency in the next three years |

Pay gap | Executive team pay gap |

Size | Natural logarithm of total assets at the end of the year |

Bsize | Natural logarithm of total board |

Indepen | Ratio of the number of independent directors to the total number of directors |

Leverage | Ratio of total liabilities to total assets at the end of the year |

Top1 | The ratio of the number of shares held by the largest shareholder to the total number of shares |

Roa | Ratio of net profit to total assets at the end of the year |

CF | Ratio of net cash flow from operating activities to total assets at the beginning of the year |

Growth | Company growth |

SOE | Dummy variable, if the company’s ultimate controller is state-owned, take 1; otherwise, take 0 |

Dual | Dummy variable, if the chairman and the general manager are the same person take 1; otherwise take 0 |

Year | Virtual variable |

Industry | Virtual variable |