Title: The break-up: policy network structure and the politics of financial services

Authors: Ian Roberge; Dona M. Dunea; Russell Alan Williams

Addresses: Department of Political Science, Glendon College, York University, 2275 Bayview Ave., Toronto, Ontario, M4N 3M6, Canada ' Department of Political Science, Glendon College, York University, 2275 Bayview Ave., Toronto, Ontario, M4N 3M6, Canada ' Department of Political Science, Memorial University, St. John's, NL, A1B 3X9, Canada

Abstract: This article provides an in-depth study of Canada's financial services sector policy network in light of the failed 2011 merger attempt between the London Stock Exchange and the Toronto Stock Exchange. The Canadian network is often presented as cohesive, yet the network was highly divided on the proposal. The network approach is a necessary complement to explanations for the merger's rejection that focus on economic nationalism, or simple-market-based accounts. In this case the merger failed because of the network structure of Canadian financial services policymaking. The policy networks approach allows an in-depth look at actors' interactions and the factors considered in the merger decision-making process. The conclusion highlights the need to carefully consider the particular dynamics of a network in explaining specific policy outcomes.

Keywords: policy networks; securities industry; Canada; financial services; London stock exchange; LSE; stock exchange mergers; Toronto stock exchange; TMX; UK; United Kingdom; network structure; policy making; merger decision making; network dynamics; politics.

DOI: 10.1504/IJPP.2015.068842

International Journal of Public Policy, 2015 Vol.11 No.1/2/3, pp.1 - 16

Received: 15 Nov 2013
Accepted: 01 May 2014
Published online: 15 Apr 2015 *

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