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Indexed by:会议论文

Date of Publication:2015-01-01

Included Journals:CPCI-SSH

Page Number:58-63

Key Words:dividend policy; cash dividend; stock dividend; catering theory; dividend premium

Abstract:Based on behavioral finance theory, this paper using propensity score matching method to measure dividend premium and examines whether the decision of China's listed companies to pay dividend is driven by investor demand. The results show that corporate cater to investors by paying stock dividend when investors put a stock price premium on stock dividend payers, while corporate doesn't cater to investors by paying cash dividend even when investors put a stock price premium on cash dividend payer.