managers perceive particular instruments of internal and external financing. We find, that firms follow pecking order theory … for working capital financing, however the arguments for pecking order theory in investment financing are not that strong …

into account efficiency and market power effects. Our findings suggest that a merger policy, but not a discriminatory …. In this vein, harmonization of the EU takeover regulations may particularly benefit assets owners in countries with many …

The paper shows that the standing of theory in the field of mergers and acquisitions is weak for at least three reasons …. Research is best described as a battlefield of ad hoc theory testing leaving behind a fragmented field. Research has focused … growth). The deficiencies in the standing of theory will be reflected in weak institutions to handle the political processes …

We analyze a Bayesian merger game under two-sided asymmetric information about firm types. We show that the standard … prediction of the lemons market model-if any, only low-type firms are traded-is likely to be misleading: Merger returns, i.e. the … difference between pre- and post-merger profits, are not necessarily higher for low-type firms. This has two implications. First …