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자료유형
학술저널
저자정보
저널정보
한국경영교육학회 경영교육연구 경영교육논총 제22집
발행연도
2000.12
수록면
1 - 18 (18page)

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This paper analyzes that the inventory investment of korean manufacturing firms is constrained by their cash flows in 1990s. For this purpose, it uses yearly data provided by korea listed companies association. The effect of cash flow on the inventory investment is likely to show the difference. Whether the economy is in the contraction period of in the expansion period. IT is expected that the inventory investment are more subject to cash flow in the contraction period(1991-1992) rather than in the expansion period(1993-1995). This study handles the 215 manufacturing firms, dividing them into small firms and large firms over 1991-1995. The standard inventory investment model is used as the estimation equation by the fixed effect model. The empirical result confirms that the inventory investment is constrained by the cash flows. It also shows that the inventory investment is more subject to cash flow in the contraction period(1991-1992) than in the expansion period(1993-1995). And, in the contraction period, the cash flow effect on the inventory investment is greater in small and medium firms than in large firms. This empirical result shows that the inventory investment is affected by the financial variables such as cash flow or debt ratio. It says that simply adjusting the inventory of firms does not result in the soft landing of the business cycle.

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