Abstract
During the 1970s, corporations, especially utilities, started to use new capital dividend reinvestment plans (NCDRPs) to facilitate the obtaining of equity funds in an otherwise bleak capital market. Questionnaires sent to corporate users yielded the information that NCDRPs are making an important contribution to the equity capital needs of many corporations, particularly those in the capital-intensive utility industry. Although there are some problems, the future outlook for NCDRPs is bright.
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