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논문검색

Corporate Governance and Payout Policy : Evidence from Korean Business Groups 

초록

영어

Using a unique, comprehensive data set from a survey on corporate governance practices among Korean listed firms, we find that firms with sound governance practices are associated with both high firm value and high dividend payout ratios. Although high in firm value, firms in major business groups (or chaebol) have lower dividend payouts on average than independent firms do. This relationship is driven primarily by the corporate governance sub-components of poor shareholder protection and the relatively weak role of chaebol firms’ boards of directors. Our evidence suggests that the entrenched control by chaebol firm owners stemming from the control rights much above the cash flow rights puts less weight on protecting the minority shareholders and distributes less corporate wealth to shareholders.

목차

Abstract
 1. Introduction
 2. Financial Crisis and Corporate Governance Reforms in Korea
 3. Corporate Governance Practices and Dividend Payouts
  3.1. Dividend payouts and governance effectiveness
  3.2. Indexing corporate governance practices
 4. Empirical Evidence
 5. Conclusion
 References
 Table
 Appendix

저자정보

  • Lee-Seok Hwang Seoul National University
  • Hakkon Kim Korea Advanced Institute of Science and Technology
  • Kwangwoo Park Korea Advanced Institute of Science and Technology
  • Raesoo Park Sookmyung Women’s University

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