IDEAS home Printed from https://ideas.repec.org/a/fej/artcal/v2by2012i1p1-13.html
   My bibliography  Save this article

Determinants Of Changes Dividend Behavior Policy: Evidence From The Amman Stock Exchange

Author

Listed:
  • Dr. Faris Nasif AL- Shubiri

    () (College of Business, Department of Finance and Banking Amman Arab University, Jordan, Amman)

Abstract

Dividend policy is one of the most intriguing topics in financial research. Even now, economists provide considerable attention and thought to solving the dividend puzzle, resulting in a large number of conflicting hypotheses, theories and explanations. This paper aims to determine the dividend policies of the 60 industrial firms listed on the Amman stock exchanges (ASE) for the period of 2005-2009, and to explain their dividend payment behavior. This study used the tobit regression analysis, and logit regression analysis, and hence the random effects tobit/logit models are favorable than the pooled models. The paper finds that the dividend policy in Jordan as a developing country is influenced by factors similar to those relating to developed countries.

Suggested Citation

  • Dr. Faris Nasif AL- Shubiri, 2012. "Determinants Of Changes Dividend Behavior Policy: Evidence From The Amman Stock Exchange," Far East Journal of Marketing and Management, Far East Research Centre, vol. 2(1), pages 1-13, August.
  • Handle: RePEc:fej:artcal:v:2b:y:2012:i:1:p:1-13
    as

    Download full text from publisher

    File URL: http://www.fareastjournals.com/files/FEJMMV2N2P1.pdf
    Download Restriction: no

    File URL: http://www.fareastjournals.com/archive_detail.aspx?jid=22&aid=27
    Download Restriction: no

    Other versions of this item:

    References listed on IDEAS

    as
    1. Stewart C. Myers & Nicholas S. Majluf, 1984. "Corporate Financing and Investment Decisions When Firms Have InformationThat Investors Do Not Have," NBER Working Papers 1396, National Bureau of Economic Research, Inc.
    2. Myers, Stewart C. & Majluf, Nicholas S., 1984. "Corporate financing and investment decisions when firms have information that investors do not have," Journal of Financial Economics, Elsevier, vol. 13(2), pages 187-221, June.
    3. Frankfurter, George & Wood, Bob G. & Wansley, James, 2003. "Dividend Policy," Elsevier Monographs, Elsevier, edition 1, number 9780122660511.
    4. Rafael La Porta & Florencio Lopez-de-Silanes & Andrei Shleifer & Robert W. Vishny, 2000. "Agency Problems and Dividend Policies around the World," Journal of Finance, American Finance Association, vol. 55(1), pages 1-33, February.
    5. John R. Graham & Mark H. Lang & Douglas A. Shackelford, 2004. "Employee Stock Options, Corporate Taxes, and Debt Policy," Journal of Finance, American Finance Association, vol. 59(4), pages 1585-1618, August.
    6. Kale, Jayant R & Noe, Thomas H, 1990. "Dividends, Uncertainty, and Underwriting Costs under Asymmetric Information," Journal of Financial Research, Southern Finance Association;Southwestern Finance Association, vol. 13(4), pages 265-277, Winter.
    7. Merton H. Miller & Franco Modigliani, 1961. "Dividend Policy, Growth, and the Valuation of Shares," The Journal of Business, University of Chicago Press, vol. 34, pages 411-411.
    8. Myers, Stewart C. & Majluf, Nicolás S., 1945-, 1984. "Corporate financing and investment decisions when firms have information that investors do not have," Working papers 1523-84., Massachusetts Institute of Technology (MIT), Sloan School of Management.
    9. Kale, Jayant R. & Shahrur, Husayn, 2007. "Corporate capital structure and the characteristics of suppliers and customers," Journal of Financial Economics, Elsevier, vol. 83(2), pages 321-365, February.
    10. Myers, Stewart C., 1984. "Capital structure puzzle," Working papers 1548-84., Massachusetts Institute of Technology (MIT), Sloan School of Management.
    11. Varouj Aivazian & Laurence Booth & Sean Cleary, 2003. "Do Emerging Market Firms Follow Different Dividend Policies From U.S. Firms?," Journal of Financial Research, Southern Finance Association;Southwestern Finance Association, vol. 26(3), pages 371-387.
    12. Myers, Stewart C, 1984. " The Capital Structure Puzzle," Journal of Finance, American Finance Association, vol. 39(3), pages 575-592, July.
    13. Stewart C. Myers, 1984. "Capital Structure Puzzle," NBER Working Papers 1393, National Bureau of Economic Research, Inc.
    14. Sudipto Bhattacharya, 1979. "Imperfect Information, Dividend Policy, and "The Bird in the Hand" Fallacy," Bell Journal of Economics, The RAND Corporation, vol. 10(1), pages 259-270, Spring.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Rembulan Rahmadia Fitri & Muhamad Nadratuzzaman Hosen & Syafaat Muhari, 2016. "Analysis of Factors that Impact Dividend Payout Ratio on Listed Companies at Jakarta Islamic Index," International Journal of Academic Research in Accounting, Finance and Management Sciences, Human Resource Management Academic Research Society, International Journal of Academic Research in Accounting, Finance and Management Sciences, vol. 6(2), pages 87-97, April.
    2. Nabaraj Adhikari, Ph.D., 2015. "Determinants of Corporate Dividend Payout in Nepal," NRB Economic Review, Nepal Rastra Bank, Research Department, vol. 27(2), pages 1-22, October.

    More about this item

    Keywords

    Dividend Policy; Corporate Leverage; Agency Theory;

    JEL classification:

    • M1 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:fej:artcal:v:2b:y:2012:i:1:p:1-13. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Jim Chau). General contact details of provider: http://www.fareastjournals.com/journal_detail.aspx?jid=22 .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.