Is There a Global Small World of Owners and Directors?

Kogut, Bruce; Colomer, Jordi; Ahmadjian, Christina L.; Alexander, Mike; Belinky, Mariano; Bardina, Juan Pablo von Bernath; Brookfield, Jonathan; Chang, Sea‐Jin; Conyon, Martin J.; Corrado, Riccardo; G, Davis; Vecchio, Nathalie Del; Drori, Israel; Edling, Christofer; Ellis, Susan J.; Ferraro, Fabrizio; Goyer, Michel; Guthrie, Douglas; Hamadi, Malika; Heemskerk, Eelke M.; Hobdari, Bersant; Kosava, R.; Lahiri, Nandini; Lazzarini, Sérgio G.; Tan, Wee Liang; Okhmatovskiy, Ilya; Randøy, Trond; Schnyder, Gerhard; Schoenman, R. L.; Schiplov, A.; Siegel, J.I.; Stafsudd, Anna; Thomsen, Steen; Urso, P D; Walker, George; Xiao, Zhongdong

doi:10.7551/mitpress/9780262017275.003.0219

Cited by 1 publication

(2 citation statements)

References 0 publications

Supporting

Mentioning

Contrasting

Order By: Relevance

“…Hence, La Porta et al's (1998) vision may be more complicated. There is not a unique Anglo-Saxon system, nor no difference within regions or countries sharing the same legal system (Kogut and Colomer, 2012). One of the globalisation's consequences is the rise of emerging countries but also a more dense and complex network between firms and countries.…”

Section: Interlocked Directorates Across Different Corporate Governanmentioning

confidence: 99%

“…With our database linking each institution to its board of directors' members (43,399 directors) -and vice-versa: each person to its affiliated financial firms across the globe -we provide evidence of a complex network. From interbank loans (Minoiu and Reyes, 2013) to the small-world of owners and directors (Kogut and Colomer, 2012), social network analysis has been used to emphasise the importance of key individuals, financial institutions or countries at the international level. Network topology has been used in conjunction with variance decomposition to measure how US financial firms where connected before and during the 2007-2008 financial crisis (Diebold and Yilmaz, 2014).…”

Section: Introductionmentioning

confidence: 99%

See 1 more Smart Citation

Connectivity and closeness among international financial institutions: a network theory perspective

Warin

Sanger

2018

IJCM

View full text Add to dashboard Cite

This article focuses on connectivity and closeness between financial institutions. Financial institutions are a subset of multinational corporations and play an important role in our modern economies. By studying connectivity and closeness, this article proposes a network theory approach to the notion of systemic risk. Using network theory, we propose to look at potential networks between financial institutions through their boards of directors. Measures of centrality (degree, closeness, betweenness, eigenvalue) and force-directed networks are provided for each country. We built a large sample (43,399 individuals; 2,209 institutions) across 52 countries using Bureau van Dijk's database. We find corporate interlocks showing-to some degree-the level of concentration within the financial system. The main contribution of this article is to show some evidence of small-world properties of the international financial system; the ramifications of this question could be critical, notably in terms of systemic risk.

show abstract

Section: Interlocked Directorates Across Different Corporate Governanmentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%