Common Components in Firms' Growth and the Sectors Scaling Puzzle
Antonio Palestrini ()
Economics Bulletin, 2008, vol. 12, issue 35, 1-8
Abstract:
In this paper we show how a simple modification of a well-known multiplicative process of firms' growth, taking into account common and idiosyncratic elements, allows to reconcile an old aggregate-sector puzzle (Quandt, 1966) on firms'' size distribution reported in the literature.
JEL-codes: L0 O4 (search for similar items in EconPapers)
Date: 2008-12-13
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