IDEAS home Printed from https://ideas.repec.org/a/auv/jipbud/v17y2012i3p3-24.html
   My bibliography  Save this article

The Factors Determining Liquidity at the Level of Production Enterprises: Demand for Money Approach (in Persian)

Author

Listed:
  • Komijani, Akbar

    (Iran)

  • Tabatabaei- Zavareh, Hamidreza

    (Iran)

Abstract

For the first time in the country, this research employs microeconomic fundamentals in a try to estimate and assess the factors that affect the liquidity in production enterprises. For this purpose, the enterprises' demand for money function were estimated with the data related to 161 production enterprises accepted to Tehran Stock Exchange within the 2000-2010 period including the third and fourth five-year development plans of Iran. The empirical results of balanced panel data method indicate the economies of scale in the real demand for money at the level of production enterprises. Meanwhile, more real money balances are kept in the enterprises that have undergone more wage costs. Additionally, estimates illustrate that if the ‘access to banking resources indicator’ is introduced to the demand for money function, less real money balances are kept in the enterprises that have more access to the banking resources. It should be added that estimates of interest rate coefficients indicate that the average weight pertaining to the interest rate of deposit accounts as well as that of the banking facilities are not statistically significant variables for substituting with money opportunity cost in this research therefore, some other variables are needed for developing the model of the study in order to analyze the impact of monetary policy on the liquidity behavior of the production enterprises.

Suggested Citation

  • Komijani, Akbar & Tabatabaei- Zavareh, Hamidreza, 2012. "The Factors Determining Liquidity at the Level of Production Enterprises: Demand for Money Approach (in Persian)," The Journal of Planning and Budgeting (٠صلنامه برنامه ریزی Ùˆ بودجه), Institute for Management and Planning studies, vol. 17(3), pages 3-24, November.
    • Handle: RePEc:auv:jipbud:v:17:y:2012:i:3:p:3-24
    as

    Download full text from publisher

    File URL: http://jpbud.ir/article-1-634-en.pdf
    Download Restriction: no
    File URL: http://jpbud.ir/article-1-634-en.html
    Download Restriction: no
    File URL: http://jpbud.ir/article-1-634-fa.html
    Download Restriction: no
    ---><---

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:auv:jipbud:v:17:y:2012:i:3:p:3-24. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Nahid Jebeli (email available below). General contact details of provider: https://edirc.repec.org/data/irpdair.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.