It's Alive! Corporate Cash and Business Investment
8 Pages Posted: 28 Aug 2014
Date Written: August 27, 2014
Policymakers should not overreact to perceptions of corporate ‘dead money’, according to a new C.D. Howe Institute report. In “It’s Alive! Corporate Cash and Business Investment,” author Finn Poschmann points out that corporate cash holdings, as a share of output, have not grown since 2010 and that, contrary to popular opinion, business sector investment Canada-wide is growing at roughly the same pace as the economy.
Keywords: Economic Growth and Innovation
JEL Classification: D22, G32
Suggested Citation: Suggested Citation