This paper empirically examines the impact of population aging on the level of corporate cash holdings with a research sample of A-share listed companies in Shanghai and Shenzhen from 2010 to 2022.The results show that population aging significantly increases the level of corporate cash holdings,while rising labor costs,shrinking debt financing scale and increasing business risks are important mechanisms through which population aging affects the level of corporate cash holdings.Cross-sectional analysis shows that the effect of population aging on firms'cash holding levels is more significant in firms with higher labor adjustment costs,higher external financing costs and highly competitive markets.Extended research finds that increasing the level of cash holdings in response to population aging shocks enhances firms'market value and that firms increase the level of excess cash holdings.The findings of this paper provide a new theoretical basis for understanding the factors influencing the level of cash holdings of firms and provide empirical insights for firms to cope with aging shocks.
维普
万方数据