Modeling Firm-Size Distribution Using Box-Cox Heteroscedastic Regression

Zhenlin Yang and Y. K. Tse ()

No 10-2004, Working Papers from Singapore Management University, School of Economics

Abstract: Using the Box-Cox regression model with heteroscedasticity, we examine the size distribution of firms. Analyzing the data set of Portuguese manufacturing firms as in Machado and Mata (2000), we show that our approach compares favorably against the Box-Cox quantile regression method. In particular, we are able to answer the key questions addressed by Machado and Mata, with the additional advantage that our empirical quantile functions are monotonic. Furthermore, confidence intervals of the regression quantiles are easy to compute, and the estimation of the Box-Cox heteroscedastic regression model is straightforward.

Keywords: Box-Cox transformation; Firm-size distribution; Quantile regression. (search for similar items in EconPapers)
JEL-codes: C1 C5 L11 (search for similar items in EconPapers)
Pages: 26 pages
Date: 2004-03
References: View references in EconPapers View complete reference list from CitEc
Citations:

Published in SMU Economics and Statistics Working Paper Series

Downloads: (external link)
https://mercury.smu.edu.sg/rsrchpubupload/1851/fs_paper.pdf (application/pdf)
Our link check indicates that this URL is bad, the error code is: 500 Server closed connection without sending any data back

Related works:
Journal Article: Modelling firm-size distribution using Box-Cox heteroscedastic regression (2006)
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:siu:wpaper:10-2004

Ordering information: This working paper can be ordered from

Access Statistics for this paper

More papers in Working Papers from Singapore Management University, School of Economics Contact information at EDIRC.
Bibliographic data for series maintained by QL THor ().