Common Ownership and Firms'Market Power——Empirical Evidence from Chinese Listed Firms
The phenomenon of common ownership has become more and more popular in China's securities market,triggering discussions and con-cerns about its economic impact.Based on the data of listed firms in China from 2007 to 2020,this paper examines the impact of common ownership on firms'market power.The results show that common ownership can significantly enhance firms'market power through cost savings,innovation synergies,and alleviation of financing constraints,as well as by reducing market competition through competitive collusion.Further heterogeneity a-nalysis shows that common ownership has a more significant effect on state-owned enterprises,low-and medium-technology enterprises,manu-facturing enterprises,and enterprises in the eastern region.This paper not only provides a reference for firms to enhance their market power,but also provides policy recommendations to reasonable regulate market monopoly.
NETL
NSTL
万方数据
