Factors Affecting International Mergers and Acquisitions
| dc.creator | Reed, Michael R. | |
| dc.creator | Babool, Md. Ashfaqul Islam | |
| dc.date | 2017-04-01T13:45:40Z | |
| dc.date.accessioned | 2026-07-09T04:23:13Z | |
| dc.description | The purpose of this paper is to investigate the factors that explain outward and inward merger and acquisition (M/A) activity for a country. The variables used to explain M/A activity include the exchange rate, interest rate, and stock market prices. Regression analysis is used to isolate and clarify the effects of these three factors for aggregate M/A activity and M/A activity within the food, beverage, and tobacco industry. The analysis shows that three variables, the exchange rate, interest rate, and stock prices, are quite important in explaining variations in M/A activity by country. Exchange rate changes in particular have a very elastic impact on outward M/A activity, indicating that price effects are important in determining outward investment flows. The stock market index positively influenced inward and outward M/A activity. The interest rate had a negative impact on M/A in the inward and outward M/A models with M/A outflows decreasing by about the same percentage that interest rates increase. | |
| dc.identifier | doi:10.22004/ag.econ.34373 | |
| dc.identifier | https://ageconsearch.umn.edu/record/34373/files/0604re01.pdf | |
| dc.identifier | http://ageconsearch.umn.edu/record/34373 | |
| dc.identifier.uri | http://hdl.handle.net/123456789/549135 | |
| dc.language | eng | |
| dc.publisher | ||
| dc.source | http://ageconsearch.umn.edu/record/34373 | |
| dc.title | Factors Affecting International Mergers and Acquisitions | |
| dc.type | Text |