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The huge amount of cash sitting on corporate balance sheets has fueled debate since the credit crisis. The extent of companies’ cash holdings has been cited as proof that companies weren’t doing enough to get the economy going, that they were handicapped by excessive regulation or that they preferred to hoard money overseas rather than pay taxes to repatriate the it. But last week, the latest quarterly data from the Federal Reserve suggested that noteworthy build-up in companies’ cash holdings might not have occurred.

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