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Analysis: Companies' cash hoarding contributes to stagnation
Corporations worldwide might be contributing to economic stagnation by hoarding cash, rather than using the money for expansion, according to The Economist. "Investment has steadily risen since the recession ended, but not as vigorously as profits," the magazine notes. "In America, for example, nominal capital expenditure this year (on an annualised basis) has risen by 6% compared with 2007; internal cash flow is up by 32%."

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