Working Paper: NBER ID: w9663
Authors: Simon J. Evenett
Abstract: This paper estimates the effects of several American law firms' international networks of offices on the total value of overseas mergers and acquisitions (M&A) by US corporations. Nowadays many nations can review proposed mergers and US law firms help clients overcome such regulatory hurdles, effectively greasing the market for corporate control. However, they can also oppose transactions that are inimical to their clients' interests. I present evidence that suggests that Baker & McKenzie the US law firm with the most overseas offices has facilitated such transactions, whereas the combined effect of the next five largest American law firms has tended to reduce such M&A.
Keywords: No keywords provided
JEL Codes: F2; L4
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| Presence of Baker McKenzie (L29) | Increased total value of U.S. M&A activity (G34) |
| Presence of other major U.S. law firms (K29) | Decreased total value of U.S. M&A activity (G34) |
| Presence of Baker McKenzie (L29) | Increased U.S. M&A activity in developing economies (F69) |
| Merger review procedures (L41) | Decreased total value of U.S. overseas M&A activity (F69) |