원문정보
초록
영어
Our study analyzes whether economic policy uncertainty influences firms’ mergers and acquisition (M&A) in Korea. Employing economic policy uncertainty proxies proposed by Baker et al. (2016), and Cho and Kim (2023) which concentrate on Korean market, we observe the effect of both overall and categorical-specific index on firms’ decisions – namely, exchange policy uncertainty, fiscal policy uncertainty, monetary policy uncertainty and trade policy uncertainty. Our results are summarized as following. First, among categoricalspecific indices, foreign exchange uncertainty is shown to have negative effect on firms’ M&A decision at statistically significant level. Second, among a variety of industry sectors, the effect of foreign exchange uncertainty is statistically significant for only manufacturing and construction deals, in contrast with non-manufacturing industry in which statistically significance was not found. Lastly, the negative effect of foreign exchange policy uncertainty is found in a variety of firm setting and conditions, including foreigner’s stock ownership, and both vertical and horizontal acquisition.
목차
I. Introduction
II. Literature review
2-1. Economic Policy Uncertainty
2-2. Economic Policy Uncertainty and Firm’s M&A activity
2-3. Exchange Rate Uncertainty on M&A
III. Data and Methodology
IV. Empirical analysis
4-1. The main analysis
4-2. Robustness test
V. Discussion
VI. Conclusion
References
Table
Figure
Appendix