Table 3 presents the Spearman rank (above the diagonal) and Pearsonproduct-moment (below the diagonal) correlations for variables employed in theempirical model. Although three specifications for cash dividends, PERDIV,DIVAMT and DIV, are positively correlated, each variable appears in a separatemodel. The initial univariate analysis indicates that BIG is positively related to all ofthese specifications for dividends and supports the theoretical expectation.