Business Groups and Employment

• 成果类型: Article
• 署名作者: Faccio, Mara; O'Brien, William J.
• 署名单位: Purdue University System; Purdue University; National University of Singapore; European Corporate Governance Institute; National Bureau of Economic Research; University of Illinois System; University of Illinois Chicago; University of Illinois Chicago Hospital
• 刊物名称: MANAGEMENT SCIENCE
• ISSN/ISSBN: 0025-1909
• DOI: 10.1287/mnsc.2020.3616
• 发表日期: 2021
• 页码: 3468-3491
• 关键词: business groups; EMPLOYMENT; business cycles

摘要

Using a newly assembled 50-country firm-level database spanning 19 years, we document a bright side for employees of business group-affiliated firms: less pronounced fluctuations in employment than unaffiliated firms in response to macroeconomic shocks. The results are robust to a variety of tests designed to mitigate endogeneity concerns, including propensity score matching and comparisons of successful and failed group integrations, and are present in both booms and recessions. Our results are most consistent with group internal labor markets rather than several alternative explanations (internal capital markets, a lower overall sensitivity to shocks in group firms, or agency problems).