Behaviors and Cash Inventories - The Example of Hungarian Post Offices
15 Pages Posted: 30 Apr 2008
Date Written: April 26, 2008
The paper shows a behavior driven cash management system. In Hungary, the Post Offices pays pensions in cash to retired people. Post Offices decide individually on their inventory strategy which affects the aggregate corporate cash needs and liquidity. The survey describes the inventory task and explores endogeous risks of behavior changes.
Keywords: Liquidity Management, Dynamic Programming, Postal Services
JEL Classification: G32, C61, L87
Suggested Citation: Suggested Citation