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Merger and the returns to labour and investment

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  • George Bittlingmayer

Abstract

Manufacturing industries with high merger intensities have higher value-added of about 10% after taking into account the number of employees and the amount of new investment. Merger-intensive industries are also more investment-intensive, and they have higher value-added per employee. These findings support the view that mergers in manufacturing serve to transfer intangible capital and to allow low-cost solutions to the problem of developing and ultimately deploying assets.

Suggested Citation

  • George Bittlingmayer, 1996. "Merger and the returns to labour and investment," Applied Economics Letters, Taylor & Francis Journals, vol. 3(3), pages 145-148.
  • Handle: RePEc:taf:apeclt:v:3:y:1996:i:3:p:145-148
    DOI: 10.1080/135048596356546
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    Cited by:

    1. Moore, Winston & Stephen, Jeremy, 2006. "A Note on Cross-Border Mergers and Investment," MPRA Paper 21582, University Library of Munich, Germany.
    2. Winston Moore, 2008. "The impact of cross-border mergers on investment," Applied Economics Letters, Taylor & Francis Journals, vol. 15(12), pages 981-984.

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