DeAngelo and DeAngelo (2006) (D&D hereafter) argue that ‘payout policy is not irrelevant and investment is not the sole determinant of value, even in frictionless markets.' We first re-examine their critique using M&M's (1961) multiperiod valuation framework and identify non-essential...

Corporate activity promotes economic growth. This has obvious benefits for society, yet by placing unsustainable demands on natural resources, it also poses serious problems. Part of the response to this should be clarity over corporate responsibility and accountability towards the environment,...