Domestic and foreign acquisitions, plant survival and employment effects

Roger Bandick; Michael Koch

doi:10.1080/13504851.2022.2030033

Domestic and foreign acquisitions, plant survival and employment effects

^*Corresponding author af dette arbejde

Institut for Økonomi

Publikation: Bidrag til tidsskrift/Konferencebidrag i tidsskrift /Bidrag til avis › Tidsskriftartikel › Forskning › peer review

13 Downloads (Pure)

Abstract

We estimate causal treatment effects of domestic and foreign acquisitions on plant survival, employment (growth) and the skill composition within acquired plants. To do so, we look at takeovers of private firms in Danish manufacturing and service sectors during the period 2002–2015. We use plant-, firm-, and industry-level information to control for the non-random selection of the acquisition targets, differentiated for domestic and foreign acquirers, by combining a difference-in-differences approach with a propensity score weighting estimator. Our results reveal positive effects on plant survival, employment (growth) and the skill intensity for domestic targets, while foreign targets reduce their skill intensity following an acquisition.

Originalsprog	Engelsk
Tidsskrift	Applied Economics Letters
Vol/bind	30
Nummer	7
Sider (fra-til)	923-926
Antal sider	4
ISSN	1350-4851
DOI	https://doi.org/10.1080/13504851.2022.2030033
Status	Udgivet - 2023

Adgang til dokumentet

10.1080/13504851.2022.2030033Licens: CC BY-NC-ND

Domestic and foreign acquisitions plant survival and employment effectsForlagets udgivne version, 566 KBLicens: CC BY-NC-ND

OpenUrl tilgængelighed

Fuld tekst

Andre filer og links

Link to publication in Scopus

Citationsformater

@article{aef524f037a04f608b5ae79b42274eed,

title = "Domestic and foreign acquisitions, plant survival and employment effects",

abstract = "We estimate causal treatment effects of domestic and foreign acquisitions on plant survival, employment (growth) and the skill composition within acquired plants. To do so, we look at takeovers of private firms in Danish manufacturing and service sectors during the period 2002–2015. We use plant-, firm-, and industry-level information to control for the non-random selection of the acquisition targets, differentiated for domestic and foreign acquirers, by combining a difference-in-differences approach with a propensity score weighting estimator. Our results reveal positive effects on plant survival, employment (growth) and the skill intensity for domestic targets, while foreign targets reduce their skill intensity following an acquisition.",

keywords = "Acquisition, did matching estimator, employment growth, plant survival",

author = "Roger Bandick and Michael Koch",

year = "2023",

doi = "10.1080/13504851.2022.2030033",

language = "English",

volume = "30",

pages = "923--926",

journal = "Applied Economics Letters",

issn = "1350-4851",

publisher = "Routledge",

number = "7",

}

TY - JOUR

T1 - Domestic and foreign acquisitions, plant survival and employment effects

AU - Bandick, Roger

AU - Koch, Michael

PY - 2023

Y1 - 2023

N2 - We estimate causal treatment effects of domestic and foreign acquisitions on plant survival, employment (growth) and the skill composition within acquired plants. To do so, we look at takeovers of private firms in Danish manufacturing and service sectors during the period 2002–2015. We use plant-, firm-, and industry-level information to control for the non-random selection of the acquisition targets, differentiated for domestic and foreign acquirers, by combining a difference-in-differences approach with a propensity score weighting estimator. Our results reveal positive effects on plant survival, employment (growth) and the skill intensity for domestic targets, while foreign targets reduce their skill intensity following an acquisition.

AB - We estimate causal treatment effects of domestic and foreign acquisitions on plant survival, employment (growth) and the skill composition within acquired plants. To do so, we look at takeovers of private firms in Danish manufacturing and service sectors during the period 2002–2015. We use plant-, firm-, and industry-level information to control for the non-random selection of the acquisition targets, differentiated for domestic and foreign acquirers, by combining a difference-in-differences approach with a propensity score weighting estimator. Our results reveal positive effects on plant survival, employment (growth) and the skill intensity for domestic targets, while foreign targets reduce their skill intensity following an acquisition.

KW - Acquisition

KW - did matching estimator

KW - employment growth

KW - plant survival

UR - http://www.scopus.com/inward/record.url?scp=85123432313&partnerID=8YFLogxK

U2 - 10.1080/13504851.2022.2030033

DO - 10.1080/13504851.2022.2030033

M3 - Journal article

AN - SCOPUS:85123432313

SN - 1350-4851

VL - 30

SP - 923

EP - 926

JO - Applied Economics Letters

JF - Applied Economics Letters

IS - 7

ER -

Domestic and foreign acquisitions, plant survival and employment effects

Abstract

Adgang til dokumentet

OpenUrl tilgængelighed

Andre filer og links

Fingeraftryk

Citationsformater