Corporate cash holdings and dividend payments: evidence from simultaneous analysis.

Article


Al-Najjar, B. and Belghitar, Y. 2011. Corporate cash holdings and dividend payments: evidence from simultaneous analysis. Managerial and decision economics. 32 (4), pp. 231-241. https://doi.org/10.1002/mde.1529
TypeArticle
TitleCorporate cash holdings and dividend payments: evidence from simultaneous analysis.
AuthorsAl-Najjar, B. and Belghitar, Y.
Abstract

This study explores the simultaneous relationship between corporate cash holdings and dividend policy using a large sample of around 400 non-financial firms for the period from 1991 to 2008. The results show that cash holdings are affected by dividends, leverage, growth, size,risk, profitability, and working capital ratio. Dividend policy is affected by cash, leverage,growth, size, risk, and profit. When controlling for simultaneity, dividend payments do not appear to significantly affect cash holdings, nor do cash holdings affect dividend policy. The
empirical analysis suggests that simultaneity is crucial in analyzing corporate cash holdings and dividend policy.

PublisherWiley
JournalManagerial and decision economics
ISSN0143-6570
Publication dates
PrintJun 2011
Publication process dates
Deposited04 Jan 2011
Output statusPublished
Digital Object Identifier (DOI)https://doi.org/10.1002/mde.1529
LanguageEnglish
Permalink -

https://repository.mdx.ac.uk/item/830x4

  • 27
    total views
  • 0
    total downloads
  • 0
    views this month
  • 0
    downloads this month

Export as