The Pettit study suggests an increase in the price per share of common stock commensurate with an

Question:

The Pettit study suggests an increase in the price per share of commensurate with an increase in dividends. Can this be taken as evidence that the value of the firm is in fact affected by policy?
Common Stock
Common stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on... Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...