Yıl 2016, Cilt 15, Sayı 4, Sayfalar 1132 - 1145 2016-10-28

Asymmetric Information and Signaling Theory: Panel Causality Approach on the Relationship between Dividends and Earnings

Yunus Kılıç [1] , Mehmet Fatih Buğan [2] , B. Dilek Özbezek [3]

490 1148

It has been long debated how, with what methods, to what extent, and how much should the earnings obtained in companies be distributed so as to maximize the market value of companies. The extent of the dividends any company would distribute to its stakeholders undoubtedly depends on the profitability situation of the relevant period. However, the distributed dividends provide reliable information concerning the future earnings of the company. For this reason, the short- and long-time relationship between dividends and earnings should be evaluated in a bidirectional way. In this study, the relationship between dividends and earnings per share for the period between 1990 and 2014 has been studied using two different panel causality tests and the asymmetric-information-based signal effect has been analyzed for individual companies. As a result of the tests conducted, a weak causality relationship has been detected between changes in dividends and companies’ future earnings. Obtained findings have pointed out that, in most companies, earnings are more effective in identifying future dividends.

Signaling Theory, Earnings per Share, Dividends, Panel Causality Test
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Konular İşletme
Dergi Bölümü İşletme
Yazarlar

Yazar: Yunus Kılıç
Kurum: Gaziantep Üniveristesi

Yazar: Mehmet Fatih Buğan
Kurum: Gaziantep Üniveristesi

Yazar: B. Dilek Özbezek
Kurum: Gaziantep Üniveristesi

Bibtex @araştırma makalesi { jss265502, journal = {Gaziantep University Journal of Social Sciences}, issn = {1303-0094}, eissn = {2149-5459}, address = {Gaziantep Üniversitesi}, year = {2016}, volume = {15}, pages = {1132 - 1145}, doi = {10.21547/jss.265502}, title = {Asymmetric Information and Signaling Theory: Panel Causality Approach on the Relationship between Dividends and Earnings}, key = {cite}, author = {Kılıç, Yunus and Buğan, Mehmet Fatih and Özbezek, B. Dilek} }
APA Kılıç, Y , Buğan, M , Özbezek, B . (2016). Asymmetric Information and Signaling Theory: Panel Causality Approach on the Relationship between Dividends and Earnings. Gaziantep University Journal of Social Sciences, 15 (4), 1132-1145. DOI: 10.21547/jss.265502
MLA Kılıç, Y , Buğan, M , Özbezek, B . "Asymmetric Information and Signaling Theory: Panel Causality Approach on the Relationship between Dividends and Earnings". Gaziantep University Journal of Social Sciences 15 (2016): 1132-1145 <http://dergipark.gov.tr/jss/issue/25129/265502>
Chicago Kılıç, Y , Buğan, M , Özbezek, B . "Asymmetric Information and Signaling Theory: Panel Causality Approach on the Relationship between Dividends and Earnings". Gaziantep University Journal of Social Sciences 15 (2016): 1132-1145
RIS TY - JOUR T1 - Asymmetric Information and Signaling Theory: Panel Causality Approach on the Relationship between Dividends and Earnings AU - Yunus Kılıç , Mehmet Fatih Buğan , B. Dilek Özbezek Y1 - 2016 PY - 2016 N1 - doi: 10.21547/jss.265502 DO - 10.21547/jss.265502 T2 - Gaziantep University Journal of Social Sciences JF - Journal JO - JOR SP - 1132 EP - 1145 VL - 15 IS - 4 SN - 1303-0094-2149-5459 M3 - doi: 10.21547/jss.265502 UR - http://dx.doi.org/10.21547/jss.265502 Y2 - 2016 ER -
EndNote %0 Gaziantep University Journal of Social Sciences Asymmetric Information and Signaling Theory: Panel Causality Approach on the Relationship between Dividends and Earnings %A Yunus Kılıç , Mehmet Fatih Buğan , B. Dilek Özbezek %T Asymmetric Information and Signaling Theory: Panel Causality Approach on the Relationship between Dividends and Earnings %D 2016 %J Gaziantep University Journal of Social Sciences %P 1303-0094-2149-5459 %V 15 %N 4 %R doi: 10.21547/jss.265502 %U 10.21547/jss.265502
ISNAD Kılıç, Yunus , Buğan, Mehmet Fatih , Özbezek, B. Dilek . "Asymmetric Information and Signaling Theory: Panel Causality Approach on the Relationship between Dividends and Earnings". Gaziantep University Journal of Social Sciences 15 / 4 (Ekim 2016): 1132-1145. http://dx.doi.org/10.21547/jss.265502