Employment effects of privatisation and foreign acquisition of Chinese state-owned enterprises

Yundan Gong, Holger Görg, Sara Maioli

Research output: Contribution to journalArticle

Abstract

This paper investigates the effects of domestic privatisation or foreign acquisition of Chinese State Owned Enterprises (SOEs) on employment growth, using firm level data for China and a combination of propensity score matching and difference-in-differences in order to identify the causal effect. Our results suggest that, controlling for output growth there is some evidence that domestic privatisation leads to contemporaneous reductions in employment growth compared to firms that did not undergo an ownership change. By contrast, there is some evidence that foreign acquisitions show higher employment growth in the post acquisition period than non-acquired SOEs.
Original languageEnglish
Pages (from-to)197-214
Number of pages18
JournalInternational Journal of the Economics of Business
Volume14
Issue number2
DOIs
Publication statusPublished - 2007

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Foreign acquisitions
Employment growth
Privatization
State-owned enterprises
Employment effects
Ownership change
Causal effect
Firm-level data
Difference-in-differences
Propensity score matching
Output growth
China

Cite this

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Employment effects of privatisation and foreign acquisition of Chinese state-owned enterprises. / Gong, Yundan; Görg, Holger; Maioli, Sara.

In: International Journal of the Economics of Business, Vol. 14, No. 2, 2007, p. 197-214.

Research output: Contribution to journalArticle

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