{"id":10957,"date":"2025-05-05T10:00:00","date_gmt":"2025-05-05T06:30:00","guid":{"rendered":"https:\/\/gptt.ir\/cost-of-carry-financial-constraints-and-dynamics-of-corporate-cash-holdings\/"},"modified":"2026-06-08T17:32:41","modified_gmt":"2026-06-08T14:02:41","slug":"cost-of-carry--financial-constraints--and-dynamics-of-corporate-cash-holdings","status":"publish","type":"post","link":"https:\/\/gptt.ir\/?p=10957","title":{"rendered":"Cost of carry, financial constraints, and dynamics of corporate cash holdings"},"content":{"rendered":"<h2 class=\"section-title u-h4 u-margin-l-top u-margin-xs-bottom\" style=\"text-align: left;\">Abstract<\/h2>\n<div id=\"as0005\" style=\"text-align: left;\">\n<div class=\"u-margin-s-bottom\" id=\"sp0190\">This paper provides new evidence on how the cost of carry is linked to corporate cash policy in the presence of financial frictions. Using both time-series and firm-level data for US public and private manufacturing firms, we find a negative correlation between cash holdings and the cost of carry for financially unconstrained firms. We find no evidence of such a relation for financially constrained firms. Our results suggest that financial constraints play an important role in adjusting cash to changes in the cost of carry. We introduce a simple model in which firms differ in their cost function of external<span>&nbsp;<\/span><a href=\"https:\/\/www.sciencedirect.com\/topics\/economics-econometrics-and-finance\/finance\" title=\"Learn more about finance from ScienceDirect's AI-generated Topic Pages\" class=\"topic-link\">finance<\/a>, where the constrained firms&#8217; highly curved cost function drives a steeper cash demand, leading to <br \/>their lower cash sensitivity to the cost of carry.<\/p>\n<\/div>\n<\/div>\n<p>\u0627\u06cc\u0646 \u06af\u0632\u0627\u0631\u0634 \u0631\u0627 \u0645\u06cc\u062a\u0648\u0627\u0646\u06cc\u062f \u0627\u0632 <a href=\"https:\/\/www.sciencedirect.com\/science\/article\/pii\/S0929119922000591\">\u0627\u06cc\u0646\u062c\u0627<\/a> \u0645\u0637\u0627\u0644\u0639\u0647 \u06a9\u0646\u06cc\u062f.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Abstract This paper provides new evidence on how the cost of carry is linked to corporate cash policy in the presence of financial frictions. Using both time-series and firm-level data for US public and private manufacturing firms, we find a negative correlation between cash holdings and the cost of carry for financially unconstrained firms. We [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":15058,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_groups_parent_group_id":0,"_post_related_people_ids":[],"start-date":"","events-opt":"","footnotes":""},"categories":[82],"tags":[],"class_list":["post-10957","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-82"],"_links":{"self":[{"href":"https:\/\/gptt.ir\/index.php?rest_route=\/wp\/v2\/posts\/10957","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/gptt.ir\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/gptt.ir\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/gptt.ir\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/gptt.ir\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=10957"}],"version-history":[{"count":1,"href":"https:\/\/gptt.ir\/index.php?rest_route=\/wp\/v2\/posts\/10957\/revisions"}],"predecessor-version":[{"id":14237,"href":"https:\/\/gptt.ir\/index.php?rest_route=\/wp\/v2\/posts\/10957\/revisions\/14237"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/gptt.ir\/index.php?rest_route=\/wp\/v2\/media\/15058"}],"wp:attachment":[{"href":"https:\/\/gptt.ir\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=10957"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/gptt.ir\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=10957"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/gptt.ir\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=10957"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}