Firm growth and firm size

Mark Rogers, Christian Helmers () and Christoffer Koch

Applied Economics Letters, 2010, vol. 17, issue 16, 1547-1550

Abstract: This article analyses the growth rates of the complete population of UK-registered firms for the period 2001 to 2005. We estimate Gibrat's law - that growth rates are independent of firm size - by deciles of the firm size distribution. Whether we are able to reject Gibrat's law varies across deciles. We also show how estimates vary according to the measure of firm size, time period and sample selection.

Date: 2010
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DOI: 10.1080/13504850903085043

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