Dividend policy and political uncertainty: Does firm maturity matter?
Previous evidence has shown that numerous factors influence dividend policy, but how political uncertainty affects a firm’s cash dividend policy remains blurry. This study examines the relationship between cash dividends and political uncertainty in Nigeria. More so, the study analyses whether this...
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doaj-283f14f6dc7440af8af23e26a0b9ca762020-11-25T03:43:16ZengUniversitas Syiah KualaJurnal Dinamika Akuntansi dan Bisnis2355-94622528-11432020-09-017213915010.24815/jdab.v7i2.1678911621Dividend policy and political uncertainty: Does firm maturity matter?Adamu Adamu Idris0Hussaini BalaNaziru SuleimanDepartment of Accounting, Federal University Dutsin-Ma Katsina NigeriaPrevious evidence has shown that numerous factors influence dividend policy, but how political uncertainty affects a firm’s cash dividend policy remains blurry. This study examines the relationship between cash dividends and political uncertainty in Nigeria. More so, the study analyses whether this relationship prevails on matured and non-matured firms. The study employed ordinary least squares dummy variable (LSDV) approach with robust standard error on a data set of non-financial listed Nigerian firms. The results revealed that political uncertainty strongly influences firm’s cash dividend, and a matured firm tends to pay greater dividends than non-matured firms (firms with more growth options). Thus, this finding suggests that matured firms pay more dividends during period of political uncertainty. Consequently, the study supported the agency theory and the life cycle theory.http://jurnal.unsyiah.ac.id/JDAB/article/view/16789dividends policypolitical uncertaintymatured firmsnigeria |
collection |
DOAJ |
language |
English |
format |
Article |
sources |
DOAJ |
author |
Adamu Adamu Idris Hussaini Bala Naziru Suleiman |
spellingShingle |
Adamu Adamu Idris Hussaini Bala Naziru Suleiman Dividend policy and political uncertainty: Does firm maturity matter? Jurnal Dinamika Akuntansi dan Bisnis dividends policy political uncertainty matured firms nigeria |
author_facet |
Adamu Adamu Idris Hussaini Bala Naziru Suleiman |
author_sort |
Adamu Adamu Idris |
title |
Dividend policy and political uncertainty: Does firm maturity matter? |
title_short |
Dividend policy and political uncertainty: Does firm maturity matter? |
title_full |
Dividend policy and political uncertainty: Does firm maturity matter? |
title_fullStr |
Dividend policy and political uncertainty: Does firm maturity matter? |
title_full_unstemmed |
Dividend policy and political uncertainty: Does firm maturity matter? |
title_sort |
dividend policy and political uncertainty: does firm maturity matter? |
publisher |
Universitas Syiah Kuala |
series |
Jurnal Dinamika Akuntansi dan Bisnis |
issn |
2355-9462 2528-1143 |
publishDate |
2020-09-01 |
description |
Previous evidence has shown that numerous factors influence dividend policy, but how political uncertainty affects a firm’s cash dividend policy remains blurry. This study examines the relationship between cash dividends and political uncertainty in Nigeria. More so, the study analyses whether this relationship prevails on matured and non-matured firms. The study employed ordinary least squares dummy variable (LSDV) approach with robust standard error on a data set of non-financial listed Nigerian firms. The results revealed that political uncertainty strongly influences firm’s cash dividend, and a matured firm tends to pay greater dividends than non-matured firms (firms with more growth options). Thus, this finding suggests that matured firms pay more dividends during period of political uncertainty. Consequently, the study supported the agency theory and the life cycle theory. |
topic |
dividends policy political uncertainty matured firms nigeria |
url |
http://jurnal.unsyiah.ac.id/JDAB/article/view/16789 |
work_keys_str_mv |
AT adamuadamuidris dividendpolicyandpoliticaluncertaintydoesfirmmaturitymatter AT hussainibala dividendpolicyandpoliticaluncertaintydoesfirmmaturitymatter AT nazirusuleiman dividendpolicyandpoliticaluncertaintydoesfirmmaturitymatter |
_version_ |
1724520982210674688 |