Business, Management and Accounting
4 years ago

Deregulation Sparks Surge in Stock Swap Mergers, Boosting Shareholder Value.

2 views
The Journal of Economic Perspectives
New Evidence and Perspectives on Mergers
Gregor Andrade, Mark L. Mitchell, Erik Stafford

Paper Summary

Merger activity in the 1990s was influenced by industry shocks like deregulation, with stock swaps being the preferred method over hostile takeovers. Stock market response to mergers was positive, indicating value creation for shareholders. Operating performance improved after mergers compared to industry peers.

Related papers

Theme background image
Social Sciences
2 years ago

Deregulation: A Double-Edged Sword with Uncertain Benefits and Risks

Eminent Domain
Financialization
Macroeconomic Trends
1 view
Economics, Econometrics and Finance
4 years ago

Deregulation: A Double-Edged Sword with Inconclusive Impact on Society

Macroeconomic Trends
Banking Finance
2 views
Economics, Econometrics and Finance
8 years ago

Airline deregulation in Canada boosts economy and industry innovation.

Air Transportation
Railway Deregulation
International Lawmaking