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Cross-border M&A outflows and government size

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  • Ayesha Ashraf

Abstract

This article examines the effect of cross-border mergers and acquisitions (M&A) outflows on government size in home countries. We focus on up to 89 developed and developing economies during the period 1996–2018. The results show that cross-border M&A outflows decrease the government size in total sample as well as in sub-samples of developed and developing countries. The results are stable across different econometric specifications and provide support to the efficiency hypothesis.

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  • Ayesha Ashraf, 2021. "Cross-border M&A outflows and government size," Applied Economics Letters, Taylor & Francis Journals, vol. 28(11), pages 964-967, June.
    • Handle: RePEc:taf:apeclt:v:28:y:2021:i:11:p:964-967
    DOI: 10.1080/13504851.2020.1789056
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