CEO marital status and dividend policy

Document Type

Article

Department or Administrative Unit

Finance and Supply Chain Management

Publication Date

2-2023

Abstract

We investigate whether and how CEO marital status is related to dividend policy. We find that firms run by single CEOs are less likely to pay dividends. Further analyses reveal that the aforementioned relation is stronger for single CEOs who are more risk-seeking, have compensation packages with lower pay-performance sensitivity, are less conservative, or are less engaged in corporate social responsibility activities. Our results hold in multiple robustness and endogeneity tests, including propensity score matching, difference-in-differences estimation, and an instrumental variable regression. Overall, our findings contribute to the literature highlighting the importance of CEOs' personal attributes for corporate decisions.

Comments

This article was originally published in Journal of Corporate Finance. The full-text article from the publisher can be found here.

Due to copyright restrictions, this article is not available for free download from ScholarWorks @ CWU.

Journal

Journal of Corporate Finance

Rights

© 2022 Elsevier B.V.

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