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Record W1829145074 · doi:10.19030/jber.v5i9.2586

The Short-Term Reaction To The Dividend Tax Reduction

2011· article· en· W1829145074 on OpenAlexaboutno aff
Richard H. Fosberg

Bibliographic record

VenueJournal of Business & Economics Research (JBER) · 2011
Typearticle
Languageen
FieldBusiness, Management and Accounting
TopicCorporate Taxation and Avoidance
Canadian institutionsnot available
Fundersnot available
KeywordsDividendSpan (engineering)EconomicsQuarter (Canadian coin)Style (visual arts)Monetary economicsFinanceEngineering

Abstract

fetched live from OpenAlex

With the passage of the Jobs and Growth Reconciliation Act of 2003, the maximum tax rate on dividend income was lowered from 38.6% to 15%. This eliminated the traditional tax disadvantage that dividend income had relative to capital gains income. Theoretically, this should have led a significant number of firms to increase their dividend payments. In an empirical analysis of firm dividend payments after the dividend tax reduction took effect, it was found that there was a statistically significant increase in the number of firms raising their dividends. For example, in the third quarter of 2003, 4.6% more firms increased their dividends than did so in the third quarter in 2002. Similarly, 4.9% more firms increased their dividend payments in the fourth quarter of 2003 than did so in the fourth quarter of 2002. A logit regression analysis of dividend changes showed that most of the change in the number of dividend increases was caused by the dividend tax reduction and not other factors such as earnings, earnings stability, investment opportunities or firm size. The logit regression analysis also indicated that the dividend tax reduction increased by 3.7% (4.2%) the probability that the average sample firm would increase its dividend payment in the third (fourth) quarter of 2003. It was also found that the greater a firm's blockholder share ownership the less likely the firm was to increase its dividend payment following the dividend tax reduction. CEO and other officer and director share ownership were found to be unrelated to the probability that a firm would increase its dividend payment.

Fetched live from OpenAlex and de-inverted. Abstracts are not stored in this database: the inverted indexes are 8.6 GB of the frame’s 9.3 GB of text, and the host has 13 GB free.

How this classification was reachedexpand

Full frame machine prediction

Teacher imitation

Not calibrated prevalence, not ground truth. Human validation pending. The Gemma side is a direct model label for every work in the frame, read from the title-only record. The Codex side is a classifier learned from the 10,348 direct Codex labels and calibrated to design-weighted sample rates; fields without enough sample support carry no Codex call. Candidate is the union of the two sides; consensus is their intersection. These outputs are machine_predicted_unvalidated and are not human labels.

metaresearch head score (Codex)0.001
metaresearch head score (Gemma)0.007
Version: metacan-v3-hybrid-931329e0061cValidation status: machine_predicted_unvalidated
Candidate categoriesnone
Consensus categoriesnone
DomainCandidate signal: none · Consensus signal: none
Study designCandidate signal: Observational · Consensus signal: Observational
GenreCandidate signal: Empirical · Consensus signal: Empirical
Teacher disagreement score0.016
Threshold uncertainty score0.055

Distilled classifier scores by category (both heads)

CategoryCodexGemma
Metaresearch0.0010.007
Meta-epidemiology (narrow)0.0000.000
Meta-epidemiology (broad)0.0000.000
Bibliometrics0.0000.001
Science and technology studies0.0000.000
Scholarly communication0.0020.001
Open science0.0000.001
Research integrity0.0010.001
Insufficient payload (model declined to judge)0.0160.003

Machine scores (provisional)

The two teacher heads of the student model, read on this work. A score orders the frame for review; it never asserts a category, and the validation status ships verbatim with every row.

Baseline scores from an immature model (maturity gate not passed, 7 training rounds). Scores rank; they never assert a category.

Opus teacher head0.146
GPT teacher head0.306
Teacher spread0.159 · how far apart the two teachers sit on this one work
Validation statusscore_only:v0-immature-baseline · verbatim from the scoring run: score_only means the number may rank works, and no category label ships from it

Classification

machine, unvalidated

Machine predicted; a candidate call from one source (direct Gemma or distilled Codex), not a consensus.

The models applied no category: nothing in the taxonomy fit this work.
Study designObservational
Domainnot available
GenreEmpirical

How this classification was reached, model by model and score by score, is at the end of the page under "How this classification was reached".

Quick stats

Citations0
Published2011
Admission routes1
Has abstractyes

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