The value of corporate cash holdings has increased significantly in recent decades. On average, one dollar of cash is valued at $0.61 in the 1980s, $1.04 in the 1990s, and $1.12 in the 2000s. This increase is predominantly driven by the investment opportunity set and cash-flow volatility, as...

"This book is more than a collection of ideas, equations, and chapters. It has an important integrating theme-that of value creation. This theme, which is carried throughout the book, provides a framework that helps students understand the relations between the various concepts covered in the...