@techreport{Mattes2010International, abstract = {In this
empirical paper I address the effects of international mergers
and acquisitions (M&A) on the acquired firms. International
direct investments in the home country are usually welcomed and
considered to be beneficial for growth, employment, productivity
and technological progress. This is mostly unquestioned for
greenfeld investments, i.e. the case when a foreign
multinational firm sets up a new affliate. But a majority of
foreign direct investment (FDI) projects takes the form of
mergers and acquisitions (M&A). This kind of inward FDI is much
more critically debated. The focal point of this paper is the
development of domestic German firms that are subject to a
foreign takeover regarding employment and productivity. For this
purpose, I use a comprehensive German microlevel dataset which
includes all industries as well as firms from all size
categories and all German regions. The sample covers the years
from 2000 to 2007. A propensity score matching appro