Can mergers lead to lower wages?

  • Gugler, K. (Ko-Autor*in)
  • Joe Clougherty (Ko-Autor*in)

Aktivität: VortragWissenschaftlicher Vortrag (Science-to-Science)

Beschreibung

The predictions from our theoretical model are that following a merger (i) spillovers as such will typically lead to higher wages and (ii) the trade union's response is to set lower wages if the merger is international and not change (or increase) wages if the merger is domestic.
We use data for 2‐digit industries in the US 1986‐2001 to test our predictions. When we control for the spillover effect, we find that international mergers have a significant and negative effect on wages and that domestic mergers have an insignificant (but positive)
effect on wages. International mergers are more likely to have an overall negative impact on domestic wages a) the more unionized the industry and b) if there is an outward rather than an inward international merger.
Zeitraum2 Sep. 20104 Sep. 2010
EreignistitelEARIE 2010
VeranstaltungstypKeine Angaben
BekanntheitsgradInternational

Österreichische Systematik der Wissenschaftszweige (ÖFOS)

  • 502013 Industrieökonomik