5 It is shown that accounting for technology variations, across households 6 and periods, is important to obtain theoretically consistent estimates of the 7 demand for currency. An inventory model is presented where the withdrawal 8 technology is explicitly modeled. Both the level and the interest rate elasticity 9 of cash holdings depend on the withdrawal technology available to households. 10...

We develop a dynamic model of firm in which cash management is partially delegated to self-interested manager. Shareholders trade off the cost dismissing manager with managerial discretion over use liquid funds. An improvement corporate governance quality may have positive or negative effect on levels and values balances, depending source improvement. While reduction entrenchment results lower ...