Tuesday, November 8, 2011

The network of global corporate control

"...The structure of the control network of transnational corporations affects global market

competition and financial stability. So far, only small national samples were studied and there was

no appropriate methodology to assess control globally. We present the first investigation of the

architecture of the international ownership network, along with the computation of the control

held by each global player. We find that transnational corporations form a giant bow-tie structure

and that a large portion of control flows to a small tightly-knit core of financial institutions.

This core can be seen as an economic “super-entity” that raises new important issues both for

researchers and policy makers...."


at http://arxiv.org/PS_cache/arxiv/pdf/1107/1107.5728v2.pdf