Articles

The Effect of Debt, Liquidity and Corporate Tax Policy on Dividend Policy with Profitability as Intervening Variables in Trading Companies Listed on the Indonesia Stock Exchange for the 2014-2019

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Study this aim for get Proof empirical is Policy Debt, Liquidity and Corporate Tax have an effect to Policy Dividend with Profitability as intervening variables in the company Trades listed on the IDX for the period 2014 to 2019. Research this using 16 companies Trades listed on the IDX from 2014 to 2019 with use purposive sampling method. Research data this analyzed with Analysis of Moment Structure (AMOS) method. Research results show that variable Policy Debt, Liquidity and Corporate Tax together take effect to Policy Dividends. Variable Policy Debt, Liquidity and Profitability take effect to Policy Dividends. Variable Policy Debt and Liquidity take effect to Profitability. Study this also finds that variable Profitability could mediate influence Policy Debt, Liquidity and Corporate Tax on Policy Dividends.

External Debt and Economic Growth in CFA Countries: Political Institutions Matter?

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The aim of this paper is to analyse the relation between quality of institutions, external debt and economic growth in the CFA zone. The main contribution of this paper is the endogenous determination of the threshold for quality of institutions beyond and above which external debt affect economic growth differently. The methodology focuses on the estimation of a Panel Smooth Transition Regression (PSTR) model inspired by González et al. (2005). The sample includes 10 countries on the period 1985-2015 on annual frequency. From the empirical analysis, we derive the following conclusions: in countries with lower corruption and a high level of democracy, the level of debt for which the effect of debt on growth becomes negative is higher. This implies that poor institutional quality prevents a country from taking full advantage of its credit opportunities. As a result, only countries with good institutions can fully benefit from the advantages of external debt for economic growth.