We revisit the predictive ability of dividend changes for firms’ future earnings and extend the literature by examining the effect of management forecasting ability. Although prior studies have examined the relationship between dividend changes and future earnings, the empirical evidence is...

This study examines whether and how budgetary participation practices affect top managers’ earnings forecasts. Previous research indicates that subordinate managers participating in the budgetary process may try to “play games” and underestimate budgeted revenues or overestimate budgeted...