The dark side of liquidity

Joseph Haubrich and Joao Santos

Economic Commentary, 1997, issue Sep

Abstract: A look at the disadvantages of a firm's having too much liquidity, explaining that when a company has a great deal of its worth tied up in liquid assets, it has a harder time attracting investors, who must be convinced that the firm's managers will not \\"take the money and run.\\"

Keywords: Corporations - Finance; Liquidity (Economics) (search for similar items in EconPapers)
Date: 1997
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