It also reverses the traditional order of cause and effect by implying that company valuation ratios drive dividend policy, and not vice versa. The CSS theory does not have 'invisible' or 'hidden' parameters such as the equity risk premiumthe discount rate, the expected growth rate or expected inflation.
The Universal Right to Capital Income Oct 31, Yanis Varoufakis The idea that some work hard and pay their income taxes, while others live off this enforced kindness, doing nothing by choice, is untenable. If a universal basic income — liberty's main prerequisite in an age of obsolete labor — is to be legitimate, it cannot be financed by taxing Jill to pay Jack.
ATHENS — The right to laziness has traditionally been only for the propertied rich, whereas the poor have had to struggle for decent wages and working conditions, unemployment and disability insurance, universal health care, and other accoutrements of a dignified life.
The idea that the poor should be granted an unconditional income sufficient to live on has been anathema not only to the high and mighty, but also to the labor movement, which embraced an ethic revolving around reciprocity, solidarity, and contributing to society.
Recently, however, the idea has resurfaced, gathering impressive support from the radical left, the Green movement, and even from the libertarian right. The cause is the rise of machines that, for the first time since the start of industrialization, threaten to destroy more jobs than technological innovation creates — and to pull the rug out from under the feet of white-collar professionals.
But as the idea of a universal basic income has returned, so has resistance from both the right and the left. Rightists point to the impossibility of raising enough revenue to fund such schemes without crushing the private sector, and to a drop in labor supply and productivity, owing to the loss of work incentives.
To continue reading, please log in or enter your email address. To continue reading, please log in or register now. After entering your email, you'll have access to two free articles every month. For unlimited access to Project Syndicate, subscribe now.The various debt obligations can have different seniority rankings or priority of payment.
The capital structure is the composition of a company’s debt and equity such as bank debt, bonds of all seniority rankings, preferred stock, and common equity.
long-term investment, the cost of capital and the dividend and buyback puzzle 4 oecd journal: financial market trends /1 © oecd of Dividend policy is concerned with financial policies regarding paying cash dividend in the present or paying an increased dividend at a later stage.
Whether to issue dividends, and what amount, is determined mainly on the basis of the company's unappropriated profit (excess cash) and influenced by the company's long-term earning power.
Capital structure can be a mixture of a firm's long-term debt, short-term debt, common equity and preferred equity. A company's proportion of short- and long-term debt is considered when analyzing.
Mr. Varoufakis’ case for putting in place a universal basic income becomes even more compelling when you look at his funding structure. A UBI program would be a capital-intensive project, which would be strenuous for any government budget.
The paper identifies the most important determinants of capital structure of listed Indian firms comprising both private sector companies and government companies for the period –