“…The accounting literature has mostly focused on economic motives to explain intertemporal choices (Aguiar, 2011). In particular, the focus has been on identifying the best way to combine different performance measures in order to induce managers to balance their effort between the short-and long-term financial consequences of their actions (Abernethy et al, 2013;Aguiar et al, 2014;Banker & Datar, 1989;Farrel et al, 2008;Feltham & Xie, 1994;Pinheiro, Galdi, & Oyadomari, 2012;Santos, 2015). The main expectation of this literature is that the use of financial performance measures (e.g., profit) leads managers to focus on short-term actions; while the inclusion of either non-financial or return measures induces them to better balance intertemporal choices (Abernethy et al, 2013).…”