The Global Financial Crisis, Family Control, and Dividend Policy. Issue 2 (4th November 2015)

• Record Type: Journal Article
• Authors: Attig, Najah; Boubakri, Narjess; El Ghoul, Sadok; Guedhami, Omrane
• Is Part Of: Financial management. Volume 45:Issue 2(2016:Summer)
• Page Start: 291
• Page End: 313
• Publication Date: 2015-11-04
• Subjects: Corporations -- Finance -- Periodicals; 658.1505
• DOI: 10.1111/fima.12115
• Languages: English
• ISSNs: 0046-3892

Abstract

Abstract : Using newly collected data on the ultimate ownership structure of publicly traded firms in nine East Asian economies, we find that family control is negatively related to the dividend payout ratio. Family firms are less (more) likely to increase (omit) dividends than non‐family firms. These negative associations between family firms and dividend policy are more pronounced during the recent global financial crisis, suggesting that controlling families have incentives to expropriate more firm resources during crises than in normal times.