Template-type: ReDif-Paper 1.0
Author-Name: Guerzoni, Marco
Author-Name: Riso, Luigi
Author-Name: Vivarelli, Marco
Title: Was Robert Gibrat right?
Abstract: Using both regression analysis and an unsupervised graphical model approach (never applied before to this issue), we confirm the rejection of the Gibrat’s law when our firm-level data are considered over the entire investigated period, while the opposite is true when we allow for market selection. Indeed, the growth behavior of the re-shaped (smaller) population of the survived most efficient firms is in line with the Law of Proportionate Effect; this evidence reconciles early and current literature testing Gibrat’s law and may have interesting implications in terms of both applied and theoretical research.<br/><br/>
Classification-JEL: l11,d92
Series: UNU-MERIT Working Papers
Creation-Date: 20230309
Number: 2023-006
File-URL: https://cris.maastrichtuniversity.nl/ws/files/127467587/wp2023_006.pdf
File-Format: application/pdf
File-Size: 715815
Handle: Repec:unm:unumer:2023006
DOI: