This paper studies the relationship between collective bargaining and mergers and acquisitions activity in 46 countries from the early 1990s. We find that the frequency and volume of mergers and acquisitions within industries increase in countries with powerful labor unions and high coverage of...

We study how differences in democracy influence cross-border mergers and share price reactions to cross-border deal announcements. Using a sample of 104,425 cross-border deals announced between 1985 and 2018, we find that merger flows involve acquirers from more democratic countries than their...

Using a sample of 101,834 cross-border deals announced between 1985 and 2018, we show that merger flows involve acquirers from more democratic countries than their targets. This result is primarily driven by a “pull” factor, that is, firms in countries with weaker democratic institutions...