Purpose - This paper aims to address the question: What is the distribution of value (in pounds) created in a sample of domestic takeovers in the United Kingdom from 2013 to 2020 among acquirer and target stockholders? Design/methodology/approach - The author employs a traditional event study...

We show that some influential literature supporting the RPM efficiency view is flawed when it relies on the presale service justification for RPM. In particular we consider presale services that do not modify in use value of a good, what we term sterile services. We debunk what we call the Bork...

A structural event study methodology accounts for the interaction of two M&A effects: synergy (total value) and dominance (bargaining power). This interaction jointly (simultaneously) determines the parties’ abnormal returns. We propose an instrumental variable approach. An application in...

Product information which is beneficial for an individual consumer may hurt if disseminated widely. Even with rational expectations, a fallacy of composition may occur if information leads to demand and price increases.

Purpose – The purpose of this paper is to demonstrate with real data the enhanced statistical power of a GLS-based event study methodology that requires the same input data as the traditional tests. Design/methodology/approach – The paper uses full sample, subsample and simulated modified...