Common Ownership of Competing Firms: Evidence from Australia

We provide the first estimates of extent common ownership competing firms in Australia. Combining data on market shares and substantial shareholdings, we calculate impact effective concentration. Among where can identify at least one owner, 31 percent share a owner with rival company. Analysing 443 industries, 49 that exhibit ownership, including commercial banking, explosives manufacturing, fuel retailing, insurance iron ore mining. Across Australian economy, increases concentration by 21 percent. Our imply if listed seek to maximise value their investors' portfolios, then they place same $3.70 competitors' profits as $1 own profits. discuss limitations available data, potential implications for competition