The impact of economic policy uncertainty and inflation risk on corporate cash holdings

被引：7
|
作者：
Das, Bijoy Chandra [1 ]
Hasan, Fakhrul [2 ]
Sutradhar, Soma Rani [1 ]
机构：
[1] Univ Leeds, Leeds Univ Business Sch, Leeds, England
[2] Northumbria Univ, Newcastle Business Sch, Newcastle Upon Tyne, England
来源：
REVIEW OF QUANTITATIVE FINANCE AND ACCOUNTING | 2024年 / 62卷 / 03期
关键词：
Economic Policy Uncertainty; Inflation; Corporate Cash Holdings; Democrat; Republican; C83; E52; E58; G32; G38; POLITICAL UNCERTAINTY; MACROECONOMIC UNCERTAINTY; FIRMS HOLD; GOVERNANCE; DETERMINANTS; INVESTMENT; CONNECTIONS; LIQUIDITY; FINANCE; DEMAND;
D O I：
10.1007/s11156-023-01224-6
中图分类号：
F8 [财政、金融];
学科分类号：
0202 ;
摘要：
This paper analyses the joint effects of Economic Policy Uncertainty (EPU) and inflation risk on the Corporate Cash Holdings (CCH) of US firms from 2011 to 2021. The baseline results suggest that EPU and inflation risk positively impact CCH. Moreover, we find the same results between inflation risk and CCH. However, EPU and CCH are negatively associated. Additionally, construction (finance) firms hold higher (lower) cash at the time of EPU and inflationary risk. We also find that firms hold higher (lower) cash during Democrat (Republican) presidential terms. The two-step system Generalized Method of Moments approach used to control the potential endogeneity issues indicates the same results and supports the baseline findings.
引用
收藏
页码：865 / 887
页数：23
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