Dividend Payment, Economic Policy Uncertainty and Market Competition

The objective of this study is to examine the relationship between dividend payout and economic policy uncertainty as well as market competition, with an emphasis on the moderating role of free cash flow. A sample of ۱۱۰ firms listed on the Tehran Stock Exchange over the period ۲۰۱۳-۲۰۲۴ was analyzed using panel data regression. The results indicate that free cash flow does not play a significant moderating role in the relationship economic policy uncertainty and dividend payout. In addition, market competition with the moderating effect of free cash flow on dividend payout are not statistically significant. Since free cash flow does not have a significant impact on dividend payout under competitive market environment, excess corporate funds are primarily allocated to investment activities or used to strengthen firms' financial capacity.

Keywords:

Dividend payment , economic policy uncertainty , market competition , free cash flow