We explain the empirical puzzle why mergers reduce profits and raise share prices. If being an “insider” is better than … mergers occur, when they occur, and how the surplus is shared. …

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 …

We explain the empirical puzzle why mergers reduce profits and raise share prices. If being an "insider" is better than … mergers occur, when they occur, and how the surplus is shared. <br> <br> <i>ZUSAMMENFASSUNG - (Warum Fusionen Profite …

There is diverging empirical evidence on the competitive effects of horizontal mergers: consumer prices (and thus … presumably competitors' profits) often rise while competitors' share prices fall. Our model of endogenous mergers provides a … possible reconciliation. It is demonstrated that anticompetitive mergers may reduce competitors' share prices, if the merger …

There is diverging empirical evidence on the competitive effects of horizontal mergers: consumer prices (and thus … presumably competitors' profits) often rise while competitors' share prices fall. Our model of endogenous mergers provides a … possible reconciliation. It is demonstrated that anticompetitive mergers may reduce competitors' share prices, if the merger …

Anticompetitive mergers increase competitors' profits, since they reduce competition. Using a model of endogenous … mergers, we show that such mergers nevertheless may reduce the competitors' share-prices. Thus, event-studies can not detect … anti-competitive mergers. …

Anticompetitive mergers increase competitors' profits, since they reduce competition. Using a model of endogenous … mergers, we show that such mergers nevertheless may reduce the competitors' share-prices. Thus, event-studies can not detect … anti-competitive mergers.  …