Select one of the following theories and provide an argument about why it might hold and why it might not.

Select one of the following theories and provide an argument about why it might hold and why it might not. Once you have done this, give your personal opinion on its relevance to explaining overall corporate dividend behavior.

1. Residual theory of dividends
2. "Bird-in-the-hand" argument
3. Informational content of dividends
4. Investor preference for steady dividend payments