Baseline results
| (1) | (2) | (3) | |
|---|---|---|---|
| Variables | Cash ratio | Log cash | lagDependent |
| PostIFRS-9 | 0.005*** (3.191) | 0.130*** (2.921) | 0.003** (3.482) |
| Post | −0.001** (−2.003) | −0.041*** (−2.810) | 0.001 (0.245) |
| IFRS-9 | −0.0231*** (−3.034) | −0.023** (−2.130) | −0.005*** (−3.001) |
| Lag of dependent | 0.956*** (47.51) | ||
| Sales | −0.010* (−1.723) | −0.047** (−2.136) | −0.004*** (−9.883) |
| Trade receivables | 0.006*** (2.831) | 0.014*** (3.738) | 0.003*** (2.894) |
| Trade payables | 0.000 (1.524) | 0.000 (1.264) | 0.000 (0.883) |
| Growth opportunities | 0.007* (1.761) | 0.061** (2.264) | 0.003*** (3.369) |
| Leverage | 0.005** (2.141) | 0.098** (2.581) | 0.001** (1.998) |
| Profitability | −0.001 (−0.783) | −0.011 (−1.259) | −0.000 (−0.740) |
| Finance cost | −0.022*** (−6.919) | −0.034*** (−9.223) | −0.019 (−0.098) |
| Firm size | 0.013*** (3.261) | 1.108*** (34.235) | 0.010* (2.087) |
| Domestic credit (credit) | −0.012* (1.76) | −0.011* (1.65) | −0.009 (1.54) |
| Real interest rate (RIR) | 0.008 (0.98) | 0.031 (1.21) | 0.036 (1.32) |
| GDP growth rate | 0.001 (1.45) | 0.002 1.48) | 0.001 (1.38) |
| GDP per capita | 0.046** (1.98) | 0.042* (1.86) | 0.051 (1.54) |
| Constant | 0.092** (2.371) | −1.715*** (−8.101) | 0.085** (2.360) |
| Industry effect | Yes | Yes | Yes |
| Year effect | Yes | Yes | Yes |
| Observations | 37,328 | 37,328 | 37,328 |
| R-squared | 0.344 | 0.579 | 0.787 |
| (1) | (2) | (3) | |
|---|---|---|---|
| Variables | Cash ratio | Log cash | lagDependent |
| PostIFRS-9 | 0.005 | 0.130 | 0.003 |
| Post | −0.001 | −0.041 | 0.001 (0.245) |
| IFRS-9 | −0.0231 | −0.023 | −0.005 |
| Lag of dependent | 0.956 | ||
| Sales | −0.010 | −0.047 | −0.004 |
| Trade receivables | 0.006 | 0.014 | 0.003 |
| Trade payables | 0.000 (1.524) | 0.000 (1.264) | 0.000 (0.883) |
| Growth opportunities | 0.007 | 0.061 | 0.003 |
| Leverage | 0.005 | 0.098 | 0.001 |
| Profitability | −0.001 (−0.783) | −0.011 (−1.259) | −0.000 (−0.740) |
| Finance cost | −0.022 | −0.034 | −0.019 (−0.098) |
| Firm size | 0.013 | 1.108 | 0.010 |
| Domestic credit (credit) | −0.012 | −0.011 | −0.009 (1.54) |
| Real interest rate (RIR) | 0.008 (0.98) | 0.031 (1.21) | 0.036 (1.32) |
| GDP growth rate | 0.001 (1.45) | 0.002 1.48) | 0.001 (1.38) |
| GDP per capita | 0.046 | 0.042 | 0.051 (1.54) |
| Constant | 0.092 | −1.715 | 0.085 |
| Industry effect | Yes | Yes | Yes |
| Year effect | Yes | Yes | Yes |
| Observations | 37,328 | 37,328 | 37,328 |
| R-squared | 0.344 | 0.579 | 0.787 |
Note(s): This table presents baseline results. Cash holding is the ratio of total cash and cash equivalent to total tangible assets. Log Cash is the natural logarithm of cash and cash equivalent. In column 3, the dependable variable is the lagged cash ratio. Robust t-statistics in parentheses ***p < 0.01; **p < 0.05; *p < 0.1