. This way, one bank's dividend payout policy affects the equity value and risk of default of other banks. When such negative …

In a Modigliani-Miller world, price equals the risk-adjusted present value of future dividends and dividend policy is … their present values and they are invariant with respect to dividend policy. Residual income measures with these features … are identified under two assumptions: dividend policy does not alter risk premiums and income earned from investments …

We outline a dividend signaling approach in which rational managers signal firm strength to investors who are loss … of the same level next period. The model is consistent with several features of the data, including equilibrium dividend … policies similar to a Lintner partial-adjustment model; modal dividend changes of zero; stronger market reactions to dividend …

We propose and implement a new test of the dividend signaling hypothesis that is designed to discriminate between … dividend signaling and other theories that would account for the apparent existence of a dividend preference. Our test refines … the use of data on stock price responses to dividend announcements. In particular, we study the effect of dividend …

We test whether executive stock ownership affects firm payouts using the 2003 dividend tax cut to identify an exogenous … dividends after the tax cut in 2003, whereas no relation is found in previous periods when the dividend tax rate was higher …

effects have examined the effects of dividend and capital gains taxes on payouts. Relatively few studies have considered the …

analysis of dividend behavior with respect to tax parameters and to the conditions determining the riskiness of the securities …

opposite direction from that of dividend changes, and larger changes in volatility come with larger announcement returns. We …

burning ) activities. In settings where informed parties have many options for burning money, existing theory provides no …, and the use of the taxed activity becomes more widespread as the tax rate rises. We apply this analysis to the theory of … dividend signaling. The central testable implication of the model is verified empirically …