the increased cash on hand. General dividend-smoothing theory predicts that temporary increases in cash due to natural …. We specify a new channel of precautionary cash holdings as related to dividend-smoothing, which predicts that increased … dividends should cause firms to keep more cash on hand. In the reverse direction, theory's predictions depend on the source of …

suggested that dividend policy makes no difference to this law of one price. We experimentally test the MM theorem in a complete … the dividend stream. According to this variation the dividend payout order is either identical or independent. The second … when dividend payout order is independent unless the arbitrageur keeps the asset prices in balance …