Does Short Selling Affect Corporate Payout Policy Evidence from China

References

• Adjaoud, F., and W. Benamar. 2010. Corporate governance and dividend policy: shareholders’ protection or expropriation? Journal of Business Finance and Accounting 37 (56):648–67. doi:10.1111/j.1468-5957.2010.02192.x.
   Google Scholar
• Atanassov, J., and A. Mandell. 2018. Corporate governance and dividend policy: evidence of tunneling from master limited partnerships. Journal of Corporate Finance 53:106–32. doi:10.1016/j.jcorpfin.2018.10.004.
   Web of Science ®Google Scholar
• Baker, M., and J. Wurgler. 2004. A catering theory of dividends. The Journal of Finance 59 (3):1125–65. doi:10.1111/j.1540-6261.2004.00658.x.
   Web of Science ®Google Scholar
• Bushman, R. M., J. D. Piotroski, and A. J. Smith. 2004. What determines corporate transparency? Journal of Accounting Research 42 (2):207–52. doi:10.1111/j.1475-679X.2004.00136.x.
   Web of Science ®Google Scholar
• Caliskan, D., and J. A. Doukas. 2015. CEO risk preferences and dividend policy decisions. Journal of Corporate Finance 35:18–42. doi:10.1016/j.jcorpfin.2015.08.007.
   Web of Science ®Google Scholar
• Chang, E. C., J. W. Cheng, and Y. Yu. 2007. Short-sales constraints and price discovery: Evidence from the Hong Kong market. The Journal of Finance 62 (5):2097–121. doi:10.1111/j.1540-6261.2007.01270.x.
   Web of Science ®Google Scholar
• Chang, E. C., T. C. Lin, X. Ma, J. L. Zimmerman, S. P. Kothari, and T. Z. Lys. 2019. Does short-selling threat discipline managers in mergers and acquisitions decisions? Journal of Accounting and Economics 68 (1):1–18. doi:10.1016/j.jacceco.2018.12.002.
   Web of Science ®Google Scholar
• Chen, J., M. Ezzamel, and Z. Cai. 2011. Managerial power theory, tournament theory and executive pay in China. Journal of Corporate Finance 17 (4):1176–99. doi:10.1016/j.jcorpfin.2011.04.008.
   Web of Science ®Google Scholar
• Chen, H. L., Y. Chen, B. Lin, and Y. C. Wang. 2019. Can short selling improve internal control? An empirical study based on the difference-in-differences model. Accounting & Finance 58 (5):1233–59. doi:10.1111/acfi.12456.
   Web of Science ®Google Scholar
• Chi, S. S., M. Pincus, and S. H. Teoh. 2014. Mispricing of book-tax differences and the trading behavior of short sellers and insiders. The Accounting Review 89 (2):511–43. doi:10.2308/accr-50644.
   Web of Science ®Google Scholar
• Dechow, P. M., A. P. Hutton, L. Meulbroek, and R. G. Sloan. 2001. Short-sellers, fundamental analysis, and stock returns. Journal of Financial Economics 61 (1):77–106. doi:10.1016/S0304-405X(01)00056-3.
   Web of Science ®Google Scholar
• Deng, G. Y., S. Y. Zhao, and N. M. Zhu. 2015. Does refinancing incentive affect cash dividends policy? Evidence from the semi-mandatory dividend policy in China. Emerging Markets Finance and Trade 51 (6):1099–116. doi:10.1080/1540496X.2015.1080499.
   Web of Science ®Google Scholar
• Deng, X. H., and L. Gao. 2018. The monitoring of short selling: Evidence from China. Research in International Business and Finance 43:68–78. doi:10.1016/j.ribaf.2017.07.087.
   Web of Science ®Google Scholar
• Dhaliwal, D. S., S. Radhakrishnan, A. Tsang, and Y. G. Yang. 2012. Nonfinancial disclosure and analyst forecast accuracy: International evidence on corporate social responsibility disclosure. The Accounting Review 87 (3):723–59. doi:10.2308/accr-10218.
   Web of Science ®Google Scholar
• Doh, J., S. Rodrigues, A. Saka-Helmhout, and M. Makhija. 2017. International business responses to institutional voids. Journal of International Business Studies 48 (3):293–307. doi:10.1057/s41267-017-0074-z.
   Web of Science ®Google Scholar
• Fang, V. W., A. Huang, and J. Karpoff. 2016. Short selling and earnings management: A controlled experiment. The Journal of Finance 71 (3):1251–94. doi:10.1111/jofi.12369.
   Web of Science ®Google Scholar
• Ge, R., Y. Ji, and H. Louis. 2021. Accounting quality and alliance contract provisions. The Accounting Review 96 (4):261–87. doi:10.2308/TAR-2017-0623.
   Web of Science ®Google Scholar
• Goldstein, I., and A. Guembel. 2008. Manipulation and the allocational role of prices. Review of Economic Studies 75 (1):133–64. doi:10.1111/j.1467-937X.2007.00467.x.
   Web of Science ®Google Scholar
• Grullon, G., S. Michenaud, and J. P. Weston. 2015. The real effects of short -selling constraints. Review of Financial Studies 28 (6):1737–67. doi:10.1093/rfs/hhv013.
   Web of Science ®Google Scholar
• He, W., L. Ng, N. Zaiats, and B. Zhang. 2017. Dividend policy and earnings management across countries. Journal of Corporate Finance 42:267–86. doi:10.1016/j.jcorpfin.2016.11.014.
   Web of Science ®Google Scholar
• He, W., and C. K. Li. 2018. The effects of a comply-or-explain dividend regulation in China. Journal of Corporate Finance 52:53–72. doi:10.1016/j.jcorpfin.2018.07.002.
   Web of Science ®Google Scholar
• Hou, W., J. M. Kuo, and E. Lee. 2012. The impact of state ownership on share price informativeness: The case of the split share structure reform in China. The British Accounting Review 44 (4):248–61. doi:10.1016/j.bar.2012.09.003.
   Web of Science ®Google Scholar
• Jiang, F., and K. A. Kim. 2015. Corporate governance in China: A modern perspective. Journal of Corporate Finance 32:190–216. doi:10.1016/j.jcorpfin.2014.10.010.
   Web of Science ®Google Scholar
• Jiang, F., X. Cai, Z. Jiang, and J. R. Nofsinger. 2019. Multiple large shareholders and dividends: Evidence from China. Pacific-Basin Finance Journal 57:101201. doi:10.1016/j.pacfin.2019.101201.
   Web of Science ®Google Scholar
• Jin, Z., B. Lin, X. Yang, and T. Zhang. 2018. Accounting conservatism and short selling: Evidence from China. Journal of Business Finance and Accounting 45 (3–4):352–94. doi:10.1111/jbfa.12302.
   Web of Science ®Google Scholar
• John, K., and A. Knyazeva. 2006. Payout policy, agency conflicts, and corporate governance. Working Paper (available on the Social Science Research Network, Electronic Library at, www.ssrn.com (accessed December 1, 2021)
   Google Scholar
• Karpoff, J. M., and X. Lou. 2010. Short sellers and financial misconduct. The Journal of Finance 65 (5):1879–913. doi:10.1111/j.1540-6261.2010.01597.x.
   Web of Science ®Google Scholar
• Ke, B., and X. Zhang. 2021. Does public enforcement work in weak investor protection countries? Evidence from China. Contemporary Accounting Research 38 (2):1231–73. doi:10.1111/1911-3846.12652.
   Web of Science ®Google Scholar
• Khan, M., S. Srinivasan, and L. Tan. 2016. Institutional ownership and corporate tax avoidance: New evidence. The Accounting Review 92 (2):101–22. doi:10.2308/accr-51529.
   Web of Science ®Google Scholar
• Koo, D. S., S. Ramalingegowda, and Y. Yu. 2017. The effect of financial reporting quality on corporate dividend policy. Review of Accounting Studies 22 (2):753–90. doi:10.1007/s11142-017-9393-3.
   Web of Science ®Google Scholar
• Kose, J., and W. Joseph. 1985. Dividends, dilution, and taxes: A signalling equilibrium. The Journal of Finance 40 (4):1053–70. doi:10.1111/j.1540-6261.1985.tb02363.x.
   Web of Science ®Google Scholar
• Krieger, K., N. Mauck, and S. W. Pruitt. 2021. The impact of the COVID-19 pandemic on dividends. Finance Research Letters 42:101910. doi:10.1016/j.frl.2020.101910.
   PubMed Web of Science ®Google Scholar
• Liu, C., K. Uchida, and Y. Yang. 2014. Controlling shareholder, split-share structure reform and cash dividend payments in China. International Review of Economics & Finance 29:339–57. doi:10.1016/j.iref.2013.06.008.
   Web of Science ®Google Scholar
• Pan, R. L., X. X. Tang, Y. Y. Tan, and Q. Q. Zhu. 2014. The Chinese stock dividend puzzle. Emerging Markets Finance and Trade 50 (3):178–95. doi:10.2753/REE1540-496X500310.
   Web of Science ®Google Scholar
• Pan, Y. K., and R. Zhao. 2022. Does mandatory disclosure of CSR reports affect accounting conservatism? Evidence from China. Emerging Markets Finance and Trade 58 (7): 1975–87. doi:10.1080/1540496X.2021.1949283.
   Web of Science ®Google Scholar
• Pownall, G., and P. J. Simko. 2005. The information intermediary role of short sellers. The Accounting Review 80 (3):941–66. doi:10.2308/accr.2005.80.3.941.
   Web of Science ®Google Scholar
• Rennekamp, K., K. Rupar, and N. Seybert. 2020. Short selling pressure, reporting transparency, and the use of real and accruals earnings management to meet benchmarks. Journal of Behavioral Finance 21 (2):186–204. doi:10.1080/15427560.2019.1663853.
   Web of Science ®Google Scholar
• Tang, X., J. Du, and Q. Hou. 2013. The effectiveness of the mandatory disclosure of independent directors’ opinions: Empirical evidence from China. Journal of Accounting and Public Policy 32 (3):89–125. doi:10.1016/j.jaccpubpol.2013.02.006.
   Web of Science ®Google Scholar
• Wang, K., and X. Xiao. 2011. Controlling shareholders’ tunneling and executive compensation: Evidence from China. Journal of Accounting and Public Policy 30 (1):89–100. doi:10.1016/j.jaccpubpol.2010.09.014.
   Web of Science ®Google Scholar
• Yelena, L., M. Leary, and R. Michaely. 2012. Do investors value dividend smoothing stocks differently? Management Science 63 (2):4114–36.
   Google Scholar
• Zhang, H., J. Zhu, J. He, and K. Chan. 2020. Two tales of earnings management with short sales deregulation. Journal of Accounting and Public Policy 39 (4):106743. doi:10.1016/j.jaccpubpol.2020.106743.
   Web of Science ®Google Scholar