Financial markets in Europe have become increasingly integrated in recent years, leading to a rise in foreign ownership of domestic equities and other assets. This volume brings together ten expert contributions to provide an authoritative analysis of the evolution and implications of foreign ownership in Europe today. In addition to providing new data on the extent of foreign ownership in Europe, the authors analyse some of the major challenges it brings for policy-makers at both the European and the national level. Part I looks at the legal framework for foreign ownership and for cross-border mergers and acquisitions. Part II explores important aspects of the economic impact of foreign ownership, including taxation and labour market outcomes, from a European perspective. The volume concludes with four in-depth country studies that focus on the process of internationalisation of assets in Finland, Italy, Sweden and the UK.
• First book to focus on foreign ownership in Europe • Expert overview of key aspects of foreign ownership and its implications for policy-makers • In-depth case studies of four European countries
Preface; Introduction; Part I. The Legal Framework: 1. Legal restrictions on foreign ownership in the European Union Jean-Pierre Raes; 2. European takeover regulation Erik Berglof and Mike Burkart; Part II. Recent Developments: 3. Foreign direct investment and labour market outcomes Kenneth Scheve and Matthew J. Slaughter; 4. Foreign ownership in Europe: determinants and taxation consequences Cécile Denis, Harry Huizinga and Gaëtan Nicodème; 5. Portfolio diversification in Europe Kpate Adjaouté, Jean-Pierre Danthine and Dusan Isakov; 6. Asymmetric shocks and risk sharing in a monetary union: updated evidence and policy implications for Europe Sebnem Kalemli-Ozcan, Bent Sorensen and Oved Yosha Part III. Country Studies: 7. The Swedish model of corporate ownership and control in transition Magnus Henrekson and Ulf Jakobsson; 8. Foreign ownership in Finland - boosting firm performance and changing corporate governance Pekka Ylä-Antilla, Jyrki Ali-Yrkkö and Martti Nyberg; 9. Attitudes to foreign direct investment in the United Kingdom Forrest Capie, Geoffrey Wood and Frank Sensenbrenner; 10. Foreign ownership and firm performance in Italy Sergio Mariotti, Fabrizio Onida and Lucia Piscitello.
'This wide-ranging volume provides a wealth of information on the economics of foreign ownership in Europe. Required reading for anyone wishing to understand how financial integration is reshaping the European economy.' Philip Lane, Professor of International Macroeconomics, Director IIIS, Trinity College Dublin
'The single market and the euro have had spectacular effects on inflation and interest rates across Europe. But how are these changes affecting investor behavior and the efficiency of resource allocation? The papers collected by Huizinga and Jonung provide the best starting point for anyone seeking to answer these difficult questions and to understand how financial market outcomes and hence European growth and welfare are being reshaped.' Barry Eichengreen, George C. Pardee and Helen N. Pardee Professor of Economics and Political Science, University of California, Berkeley
'The Internationalisation of Asset Ownership in Europe contains a comprehensive collection of articles that provide fascinating insights on a crucial aspect of European Financial Integration.' Marco Becht, Professor of Finance and Economics, ECARES, Université Libre de Bruxelles; Executive Director, European Corporate Governance Institute (ECGI)