Family control,institutional environment and cash dividend policy:Evidence from China

• 作者: Changqing Li Shinong Wu Wei Chen Zhihua Wei
• 来源期刊: 中国会计学刊：英文版
• 学科: 经济
• 关键词: FAMILY CONTROL INSTITUTIONAL ENVIRONMENT CASH divi
• 年，卷（期）: 2011,（Z1）
• 页码范围: 29-46
• 页数: 18页
• 分类号: F832.51

摘要

Using a sample of 1486 Chinese A-share listed companies for the period 2004-2008,this study empirically tests the impact of family control,institutional environment and their interaction on the cash dividend policy of listed companies.Our results indicate that(1)family firms have a lower cash dividend payout ratio and propensity to pay dividends than non-family firms;(2) a favorable regional institutional environment has a significant positive impact on the cash dividend payout ratio and propensity to pay dividends of listed companies;and(3) the impact of the regional institutional environment on cash dividends is stronger in family firms than in non-family firms.Somewhat surprisingly,we find that controlling family shareholders in China may intensify Agency Problem Ⅰ(the owner-manager conflict) rather than Agency Problem Ⅱ(the controlling shareholder-minority shareholder conflict),and thus have a significant negative impact on cash dividend policy.In contrast,a favorable regional institutional environment plays a positive corporate governance role in mitigating Agency Problem 1 and encouraging family firms to pay cash dividends.