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This paper examines the theory and evidence of the effect of finance, ownership, and corporate governance on labour and employment, with special reference to the so-called 'market-outsider' or liberal market economies. The main finance, ownership, and governance characteristics of these economies are described and briefly compared with those in so-called co-ordinated market economies. A set of predictions of the impact on labour management and employment are outlined. Evidence is presented from comparative studies and from within-country studies, especially of the UK. It is found that predictions are not clearly borne out, and the paper identifies a set of factors to explain this. These include dispersed ownership, the nature of corporate law, and the public visibility of listed companies.