Footnote:
In: Journal of Accounting, Auditing & Finance, 2023
Nach Informationen von SSRN wurde die ursprüngliche Fassung des Dokuments March 13, 2023 erstellt
Description:
In this study, we examine whether overconfident CEOs strive to smooth dividends. Our findings show overconfident CEOs increase dividends more as earnings increase and decrease dividends less as earnings decline, resulting in downward dividend stickiness. This asymmetric dividend payout is consistent with the selective self-attribution bias. Further, the effect of managerial overconfidence on dividend stickiness is more pronounced for firms without catering incentives. Additionally, overconfident CEOs do not manage share repurchases as they do for dividends. Therefore, we do not find a positive effect of managerial overconfidence on total payout stickiness