It's Alive! Corporate Cash and Business Investment

8 Pages Posted: 28 Aug 2014

Date Written: August 27, 2014

Abstract

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

Poschmann, Finn, It's Alive! Corporate Cash and Business Investment (August 27, 2014). C.D. Howe Institute e-brief 181. Available at SSRN: https://ssrn.com/abstract=2487950 or http://dx.doi.org/10.2139/ssrn.2487950

Finn Poschmann (Contact Author)

C.D. Howe Institute ( email )

67 Yonge St., Suite 300
Toronto, Ontario M5E 1J8
Canada
416-865-1904 (Phone)
416-865-1866 (Fax)

HOME PAGE: http://www.cdhowe.org

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