This paper helps to explain the dividend patterns of large corporations by presenting a dynamic model where payout …, reduce cash flows (precisely what dividends signal), leading to dividend payments that are smoothed relative to current …

A nonstationary dividend yield, having a unit root, is seen as proof of bubbles (Craine 1993). This inference is not … uniform convergence of the dividend yield series. I use this criterion to show that a random walk dividend yield must be … equilibrium dividend yield is a random walk without a deterministic trend or drift, but bubbles are still absent …

We show how, in a Merton-type model with bankruptcy, the dividend policy impacts the values of equity and debt as well … restrictions on dividends and gives a useful tool to support dividend payments that may be opposed by debtholders or preclude a … credibility of the dividend policy …

I study a novel data set of short-term dividend futures contracts for individual stocks. I combine this data with … dividend forecasts from equity research analysts to construct a model-free measure of short-term equity risk premia. I provide … the first description of the cross-section of risk premia on short-maturity dividend claims. My data on risk premia for …

the sum of the dividend yield on stocks plus some weighted average of expected future growth rates in dividends. We … construct a measure of stock yield as a model-imposed affine combination of dividend yield and an expected dividend growth proxy …-of-sample R-squared that is consistently above 2% at monthly frequency over our sample period. When both dividend yield and …

The traditional dividend discount model is irrelevant for financial analysts. It requires them to forecast an infinite …

Campbell and Shiller’s “accounting identity” implies that the log dividend-price ratio (LDPR) predicts either returns … or dividend growths, but neither is significantly predictable, a well-known puzzle. Existence of the long-term mean LDPR … therefore the long-term mean does not exist. However, the identity works well in our sample. The dividend growths (but not …

premium, price-dividend ratio, and aggregate dividend and consumption growth. The model-implied risk free rate and price-dividend …

In this paper, we compare the equity returns of dividend-paying and non-dividend paying firms. We find no unconditional … return difference even though non-dividend paying firms have many characteristics that suggest high risk. Equivalently …, because non-dividend paying firms have high risk-metrics, their returns are abnormally low compared with dividend-paying firms …