首页 | 本学科首页   官方微博 | 高级检索  
     


Navigating through economic policy uncertainty: The role of corporate cash holdings
Affiliation:1. Independent Researcher;2. University of Southern Denmark, Danish Finance Institute, Campusvej 55, 5230 Odense M, Denmark;1. School of Public Economics & Administration, Shanghai University of Finance & Economics, China;2. School of Finance & China Financial Policy Research Center, Renmin University of China, Beijing, China;1. Paul College of Business and Economics, University of New Hampshire, Durham, NH 03824, USA;2. School of Business, University of Kansas, Lawrence, KS 66045, USA;1. University of Delaware, Alfred Lerner College of Business and Economics, Newark, DE 19716, United States;2. Concordia University, John Molson School of Business, S-MB 12229 John Molson Building, 1450 Guy St., Montreal, Quebec H3H 0A1, Canada;3. Florida State University, Department of Finance, Tallahassee, FL 32312, United States;4. DePaul University, Driehaus College of Business, 1 E. Jackson Blvd., DePaul Center 5500, Chicago, IL 60604, United States
Abstract:We find that U.S. corporations increase their cash holdings in response to higher economic policy uncertainty. The increase in cash holdings is not attributed to a reduction in firm investments. This increase is more pronounced for financially constrained firms or those with larger exposure to policy uncertainty. Holding more cash in the presence of policy uncertainty alleviates the negative impact of policy uncertainty on capital investment and firm innovation outputs. Our findings demonstrate that cash holdings represent an important channel in mitigating the negative effect of policy uncertainty on firm real economic activities.
Keywords:
本文献已被 ScienceDirect 等数据库收录!
设为首页 | 免责声明 | 关于勤云 | 加入收藏

Copyright©北京勤云科技发展有限公司  京ICP备09084417号