This paper critically reviews the practice of significance testing in modern finance research.
Employing a survey of recently published articles in four top-tier finance journals, we find …

This chapter reviews the empirical literature on corporate dividend policy. Miller and
Modigliani (MM; 1961) famously demonstrated that in perfect capital markets, and fixed …

We examine changes in firms' dividend payouts following an exogenous shock to the
information asymmetry problem between managers and investors. Agency theories predict a …

What drives the dividend policy at the firm level? Literature has been mainly focused on
taxes, type of shareholders and market effects. In this paper, we perform a novel approach to …

Purpose This paper aims to examine whether the characteristics of boards are more
important in determining dividend policy than management characteristics. The authors …

This paper employs heterogeneity in institutional shareholder tax characteristics to identify
the relation between firm payout policy and tax incentives. Analysis of a panel of firms …

Activist shareholders play an increasingly relevant role in management decisions, especially
in their activities aimed to influence corporate decisions towards enhanced performance and …

The tax burden on equity securities has varied substantially over time and remains a source
of continuing policy debate. This paper investigates whether investors were compensated …

This paper determines the optimal ownership share held by a unit into a second unit when
both face a tax-bankruptcy trade-off. Full ownership is optimal when the first unit has positive …

Abstract Since World War II, direct stock ownership by households across the globe has
largely been replaced by indirect stock ownership by financial institutions. We argue that tax …