Date of Award
Fall 8-21-2020
Degree Type
Thesis
Degree Name
Doctor of Philosophy (PhD)
Department
Finance
First Advisor
Lixin Huang
Second Advisor
Mark Chen
Third Advisor
Omesh Kini
Fourth Advisor
Vincent Yao
Abstract
This paper examines the local labor spillover effect of mergers and acquisitions (M&As). By focusing on M&As in the manufacturing sector, I find that, in the metropolitan statistical areas (MSAs) where target firms reside, the negative effect of M&As on employment growth spills over from the manufacturing sector to the non-tradable sector through shrinking local consumer demand. Further tests with household-level data confirm this finding. The spillover effect is stronger when M&A transactions are horizontal and when an MSA relies more heavily on the manufacturing sector. Finally, lower minimum wage requirements may absorb the negative pressure from M&As on the non-tradable sector employment growth.
DOI
https://doi.org/10.57709/19426885
Recommended Citation
Ma, Han, "Local Labor Market Spillover of M&As." Thesis, Georgia State University, 2020.
doi: https://doi.org/10.57709/19426885
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