摘要 : In 2012, China implemented a green credit policy (GCP)that restricts bank credits to heavily polluting firms. Using adifference-in-differences research design, we find that pollutingfirms increased their cash reserves by 9.5% afte... 展开 In 2012, China implemented a green credit policy (GCP)that restricts bank credits to heavily polluting firms. Using adifference-in-differences research design, we find that pollutingfirms increased their cash reserves by 9.5% after the GCP'sissuance relative to non-polluting firms. We also document thatthe GCP significantly reduces firms' access to bank financebut increases the value of cash. Cross-sectional analysis showsthat the increase in cash holdings is more significant for firmswith greater financial constraints, firms with more investmentopportunities, and high-tech companies. Overall, our findingsare consistent with a constraint explanation: when externalfinancing is restricted, firms retain more cash to meet futureinvestment needs. 收起