Abstract
Gibrat’s law states that a great deal of the evolution of firm size distribution over time is due to the action of chance. While chance is still seen as an important driver of the size of firms, recent studies call for chance to be supplemented by some more structured models in order to explain the observed patterns of firm size evolution.
This chapter was originally published in The New Palgrave Dictionary of Economics, 2nd edition, 2008. Edited by Steven N. Durlauf and Lawrence E. Blume
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Mata, J. (2008). Gibrat’s Law. In: The New Palgrave Dictionary of Economics. Palgrave Macmillan, London. https://doi.org/10.1057/978-1-349-95121-5_1239-2
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DOI: https://doi.org/10.1057/978-1-349-95121-5_1239-2
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Publisher Name: Palgrave Macmillan, London
Online ISBN: 978-1-349-95121-5
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Latest
Gibrat’s Law- Published:
- 03 April 2017
DOI: https://doi.org/10.1057/978-1-349-95121-5_1239-2
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Original
Gibrat’s Law- Published:
- 13 October 2016
DOI: https://doi.org/10.1057/978-1-349-95121-5_1239-1