that it is beneficial to be a non-merging rival firm to a large horizontal merger. Using a sample of mergers with expert …

We explain the empirical puzzle why mergers reduce profits, and raise share prices. If being an 'insider' is better …, since the risk of becoming an outsider is eliminated. We also show that mergers increasing consumers' prices, while …-competitive mergers. These results are derived in an endogenous-merger model, predicting the conditions under which mergers occur, the …

predicts the frequency of mergers and acquisitions to be negatively correlated with employment protection. These predictions …

for trade with the other shareholders. In equilibrium, the number of arbitrageurs buying shares and the number of shares …

's decisions to their own benefit. The managers take advantage of shareholders by taking excessive investment risks when the market …

with those of shareholders and investors because of moral hazard. It is shown that incentive compensation, by exposing …