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Employment Effects of Acquisitions: Evidence from Acquired European Firms

  • Harald Oberhofer

    ()

This paper examines the employment effects of acquisitions for acquired European firms, taking non-random selection of acquisition targets explicitly into account. Following the empirical firm growth literature and theories put forward in the mergers and acquisition (M&A) literature, we control for convergence dynamics in firm size and distinguish between different types of acquisitions. Empirically, we estimate an endogenous treatment model using accounting data for a newly created sample of acquired and non-acquired European firms. Our results reveal positive employment effects for different types of acquisitions indicating that M&As likely induce efficiency gains. Copyright Springer Science+Business Media, LLC. 2013

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File URL: http://hdl.handle.net/10.1007/s11151-012-9353-9
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Article provided by Springer in its journal Review of Industrial Organization.

Volume (Year): 42 (2013)
Issue (Month): 3 (May)
Pages: 345-363

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Handle: RePEc:kap:revind:v:42:y:2013:i:3:p:345-363
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