Corporate Cash Holdings in Europe — The Role of State Ownership and the Impact of the Iron Curtain

Thumbnail Image

Files

URL

Journal Title

Journal ISSN

Volume Title

School of Business | Bachelor's thesis
Electronic archive copy is available locally at the Harald Herlin Learning Centre. The staff of Aalto University has access to the electronic bachelor's theses by logging into Aaltodoc with their personal Aalto user ID. Read more about the availability of the bachelor's theses.
Unless otherwise stated, all rights belong to the author. You may download, display and print this publication for Your own personal use. Commercial use is prohibited.

Authors

Date

2024

Department

Rahoituksen laitos

Major/Subject

Mcode

Degree programme

Rahoitus

Language

en

Pages

26 + 4

Series

Abstract

In this study, I explore the determinants of cash holdings in European public firms, considering previous research and the continent’s historical context. Using recent financial data from 1,569 firms, I find that government ownership does not affect corporate cash holdings in Europe, differing from the results of Chen, El Ghoul, Guedhami, and Nash (2018). Additionally, I identify that firms in former Eastern Bloc countries hold less cash than those in Western Europe, with this effect being stronger for firms established before or shortly after the fall of the Iron Curtain.

Description

Thesis advisor

Conlin, Andrew

Keywords

agency problems, cash holdings, government ownership, iron curtain

Other note

Citation

Permanent link to this item

https://urn.fi/URN:NBN:fi:aalto-202501261756

Collections

[kand] Kauppakorkeakoulu / BIZ