TY  - JOUR
AB  - I examine how private universities and their presidents respond to the financial incentives arising from the 2017 Tax Cuts and Jobs Act (TCJA), which introduced a 21% excise tax on nonprofit executive compensation above a $1 million threshold. Using an event study design, I find that total presidential compensation decreased by 13%, a reduction driven by declines in non-taxable and other forms of compensation, and their probability of exit increased by 19%. Presidents adapted their behavior in response to this drop in compensation by prioritizing easily observable financial outcomes instead of student expenditure and success, increasing net incomes by 30\% and investment returns by 23\%, while the most taxed presidents decreased student net financial aid by 0.56\% per additional 1\% of their tax burden.
AU  - Acevedo Rebolledo, Nicolas 
PY  - 2026
ST  - Talent at the Top: Effects of Taxation on University Presidents’ Compensation and Priorities
TI  - Talent at the Top: Effects of Taxation on University Presidents’ Compensation and Priorities
UR  - http://www.edworkingpapers.com/ai26-1609
ER  -