The network of global corporate control
AbstractThe structure of the control network of transnational corporations affects global market competition and financial stability. So far, only small national samples were studied and there was no appropriate methodology to assess control globally. We present the first investigation of the architecture of the international ownership network, along with the computation of the control held by each global player. We find that transnational corporations form a giant bow-tie structure and that a large portion of control flows to a small tightly-knit core of financial institutions. This core can be seen as an economic "super-entity" that raises new important issues both for researchers and policy makers.
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Bibliographic InfoPaper provided by arXiv.org in its series Papers with number 1107.5728.
Date of creation: Jul 2011
Date of revision: Sep 2011
Publication status: Published in PLoS ONE 6(10), e25995 (2011)
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Web page: http://arxiv.org/
This paper has been announced in the following NEP Reports:
- NEP-ALL-2011-08-09 (All new papers)
- NEP-HIS-2011-08-09 (Business, Economic & Financial History)
- NEP-NET-2011-08-09 (Network Economics)
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