Does the good news conveyed by the announcement of a dividend increase mean that a firm can

Question:

Does the good news conveyed by the announcement of a increase mean that a firm can increase its stock price in the long run simply by paying cash dividends? Explain.
Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...