It is not debt, but one ramification of the Modigliani Miller theorem states that under certain tax law, it is invariant for a corporation to issue these entities as opposed to repurchasing stock.
Though it's not the capital asset pricing model, Lintner's model for the policy governing these entities invokes a target ratio for these and the time rate of change for these. It is not debt, but one ramification of the Modigliani Miller theorem states that under certain tax law, it is invariant for a corporation to issue these entities as opposed to repurchasing stock. One must hold an equity investment on the "record date" to receive this cash flow.  Many firms continued to issue it despite declining earnings during the great depression, and it has been declining as a proportion of earnings per share. For 10 points, identify this payout issued by corporations to its shareholders.
Though it's not the capital asset pricing model, Lintner's model for the policy governing these entities invokes a target ratio for these and the time rate of change for these.
{dividends}