Testing Gibrat's Law for European Multinational Enterprises

Martin Falk

in WIFO Studies from WIFO

Abstract: This paper investigates the link between firm size and growth for European multinational enterprises based on the AMADEUS firm-level database. Using data for about 20,000 firms for the period of 2000–2004, we find that firm size has a significant negative impact on firm growth of the multinational enterprises. This holds when growth and ist level are measured in terms of employment or turnover. Estimates for seven broad industry groups reveal that the negative relationship can be observed in all industries, with greater effects in business services and in the investment goods industry. Furthermore we find that the average year of foundation of the foreign affiliates has a positive impact on the growth of the parent companies.

Keywords: FIW; multinationals (search for similar items in EconPapers)
Date: 2008
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://www.wifo.ac.at/wwa/pubid/34231 abstract (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:wfo:wstudy:34231

Access Statistics for this book

More books in WIFO Studies from WIFO Contact information at EDIRC.
Bibliographic data for series maintained by Florian Mayr ().