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Dividend Policy

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The New Palgrave Dictionary of Economics

Abstract

Dividends represent the primary means by which invested capital is returned to common stockholders. In this article we summarize the development of academic thinking on dividend policy, focusing on three primary perspectives: (a) the effect of dividend policy on common stock value and firm performance, (b) the determinants of dividend policy, and (c) macroeconomic trends in the propensity of firms to pay dividends.

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  1. http://link.springer.com/referencework/10.1057/978-1-349-95121-5

    David J. Denis & John J. McConnell

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  1. David J. Denis
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  2. John J. McConnell
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Denis, D.J., McConnell, J.J. (2018). Dividend Policy. In: The New Palgrave Dictionary of Economics. Palgrave Macmillan, London. https://doi.org/10.1057/978-1-349-95189-5_234

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