Unlimited FDIC Insurance and the Implications for Corporate Cash

Autor:	Anna-Leigh Stone
Rok vydání:	2019
Předmět:	Finance Economics and Econometrics business.industry Strategy and Management Cash media_common.quotation_subject Cash holdings business Cash management Transaction account Federal deposit insurance corporation media_common
Zdroj:	Quarterly Journal of Finance. 10:2040001
ISSN:	2010-1406 2010-1392
DOI:	10.1142/s2010139220400017
Popis:	This paper examines the cash management practices of firms during the period of increased FDIC insurance on noninterest-bearing accounts. While the Transaction Account Guarantee Program and Dodd–Frank Act were intended to help banks by preventing deposit withdrawals, they also seem to have contributed to a change in cash management practices given that cash increased at public firms during this time as well. In addition, the increase seems to be driven by financially unconstrained firms, firms not at risk of default, firms with an investment grade bond rating, and firms with low cash flow variation. An analysis of aggregate data shows that a similar increase was not observed for private firms.
Databáze:	OpenAIRE
Externí odkaz:	https://explore.openaire.eu/search/publication?articleId=doi_________::432f3cb52ecac5f689e44a016b47f62f https://doi.org/10.1142/s2010139220400017 Zobrazit plný text záznamu