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Topic: Business
Number of pages / Number of words: 2 / 465
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A primary focus of this article is whether the U.S. findings extend to other countries. A&A sug¬gested that their findings conform to a world in which managers possess private information that causes them to pay out a large share of earnings when they are optimistic and to pay out a small share when they are pessimistic...


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Alternatively, the facts also fit a world in which low payout ratios lead to inefficient empire building.


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