The two main goals in model selection are firstly introducing an approach to test homogeneity of several rival models and secondly selecting a set of reasonable models or estimating the best rival model to the true one. In this paper we extend Vuong's method for several models to cluster them. Based on the working paper of Katayama $(2008)$, we propose an approach to test whether rival models h...

Mergers and acquisitions (M&As) are major events, reshaping competition among related firms (traditionally called rivals). Despite their seeming importance, most M&A studies have found only a limited empirical impact on rival stock prices. Our paper revisits this issue using a novel approach to characterize the degree of interactions among related firms based on their stock return correlations ...