Business Groups in Canada: Their Rise and Fall, and Rise and Fall Again / Randall Morck, Gloria Y. Tian.

Format:

Book

Author/Creator:

Morck, Randall.

Contributor:

National Bureau of Economic Research.

Tian, Gloria Y.

Series:

Working Paper Series (National Bureau of Economic Research) no. w21707.

NBER working paper series no. w21707

Language:

English

Physical Description:

1 online resource: illustrations (black and white);

Other Title:

Business Groups in Canada

Place of Publication:

Cambridge, Mass. National Bureau of Economic Research 2015.

Summary:

Family-controlled pyramidal business groups were important in Canada early in the 20th century, amid rapid catch-up industrialization, but largely gave way to widely held free-standing firms by mid- century. In the 1970s and early 1980s - an era of high inflation, financial reversal, unprecedented state intervention, and explicit emulation of continental European institutions - pyramidal groups abruptly regained prominence. The largest of these were politically well-connected and highly leveraged. The two largest collapsed in the early 1990s in a recession characterized by very high real interest rates. The smaller groups that survived were more vertically integrated and less diversified at the time. Widely held freestanding firms and Anglo-Saxon concepts of the role of the state soon regained predominance.

Notes:

Print version record

November 2015.