Charitou, Andreas; Lambertides, Neophytos; Theodoulou, … - In: Journal of Financial and Quantitative Analysis 46 (2011) 05, pp. 1521-1543
This study extends the Grullon, Michaely, and Swaminathan (2002) analysis by incorporating default risk. Using data for firms that either increased or initiated cash dividend payments during the 23-year period 1986–2008, we find reduction in default risk. This reduction is shown to be a priced...
