these two views of dividend taxation. By extending Tobin's "q" theory of investment to incorporate taxes at both the … views may be tested by comparing the performance of investment equations estimates under each theory's predict ions. British … retaining earnings. This alternative view holds that while changes in the dividend tax rate will affect shareholder wealth, they …

We develop a dynamic agency model where payout, investment and financing decisions are made by managers who attempt to … accomplished by borrowing or lending. Payout is not cut back to finance capital investment. Risk aversion causes managers to …

Anticipated dividend tax changes, on the other hand, allow firms to engage in inter-temporal tax arbitrage so as to … reduce investors' tax burden. This can significantly distort aggregate investment. Anticipated tax cuts (increases) delay … (accelerate) firms' dividend payments, which leads them to hold higher (lower) cash balances and, for capital constrained firms …

Miller and Scholes show that under certain conditions the Federal Income tax taxes dividend income at a rate no higher … can occur apply to less than 3% of dividend income and no significant role can be ascribed to their result in the … determination of corporate dividend policy …

are unexpected and permanent, dividend payments, equity issuance, and aggregate investment rise immediately. By contrast …We develop a dynamic general equilibrium model to study the impact of the 2003 dividend and capital gains tax cuts. In … the model, firms are heterogeneous in productivity and make investment and financing decisions subject to capital …

reforms on the 30 Dow Jones companies. The estimates are all based on extensions of Tobin's "q Theory of Investment" to take … results here provide strong microeconometric support for the q theory of investment. The q theory approach provides a superior … valuation and investment plans of individual firms. The methods are applied to estimate the effects of alternative corporate tax …

, potentially spurring productive investment. Low interest rates, however, also induce entrepreneurs to lever up so as to increase … their incentives thereby lowering productivity and discouraging investment. If leverage is unregulated (for example, due to … payouts by stimulating investment in response to adverse shocks only up to a level below the first-best. The optimal monetary …

on average q in a univariate regression of investment on average q. In a multiple regression of investment on average q … financial constraint, but it does not indicate a shortage of liquidity to fund current investment. In addition, the coefficient …

The prospect of capital obsolescence inhibits investment. Investors thus become more optimistic when the obsolescence … of their capital slows down. We propose a model with no fixed costs of investment, and random technological progress that … variable, investment spikes are larger …

We examine the extent to which uncertainty delays investment and the effect of competition on this relationship using a … increase in the return volatility reduces the probability of investment by 13 percent, equivalent to a 9 percent decline in …