Do Conglomerate Firms Allocate Resources Inefficiently Across Industries? Theory and Evidence
构建利润最大化模型，证明联合大企业折价与最优行为一致，并用工厂数据发现其跨行业增长和投资符合最优配置，反驳了低效假说。
ABSTRACT We develop a profit‐maximizing neoclassical model of optimal firm size and growth across different industries based on differences in industry fundamentals and firm productivity. In the model, a conglomerate discount is consistent with profit maximization. The model predicts how conglomerate firms will allocate resources across divisions over the business cycle and how their responses to industry shocks will differ from those of single‐segment firms. Using plant level data, we find that growth and investment of conglomerate and single‐segment firms is related to fundamental industry factors and individual segment level productivity. The majority of conglomerate firms exhibit growth across industry segments that is consistent with optimal behavior.