I examine the role of local culture on investor demand for dividends and payout policy. I empirically investigate whether local culture, proxied by local religious affiliation, has an impact on the propensity to pay dividends, as well as on dividend yield and dividend initiations for a large...

This paper examines the role of local risk-taking propensity on dividend demand and corporate payout by using a novel measure. We empirically investigate geographically varying dividend demand and corporate dividend policies by using local creative culture as a measure of local risk-taking...