What’s a passive income from dividends?

Read the full article at: http://dividendgrowth.blogspot.com/2008/01/whats-passive-income-from-dividends.html
(via dividendgrowth.blogspot.com)

Studies have shown that dividend paying companies tend to outperform the general market over time. Thus I believe that a strategy of investing in stocks that regularly distribute their earnings to shareholders will provide one with a good return over time. Companies that pay dividends show that they care about their owners and have a good corporate policy toward them.