Common Components in Firms' Growth and the Sectors Scaling Puzzle
نویسندگان
چکیده
In this paper we show how a simple modification of a well-known multiplicative process of firms' growth, taking into account common and idiosyncratic elements, allows to reconcile an old aggregate-sector puzzle (Quandt, 1966) on firms' size distribution reported in the literature. Citation: Palestrini, Antonio, (2008) "Common Components in Firms' Growth and the Sectors Scaling Puzzle." Economics Bulletin, Vol. 12, No. 34 pp. 1-8 Submitted: September 8, 2008. Accepted: December 13, 2008. URL: http://economicsbulletin.vanderbilt.edu/2008/volume12/EB-08L00008A.pdf Common Components in Firms’ Growth and the Sectors Scaling Puzzle R. Axtell The Brookings Institution M. Gallegati Università Politecnica delle Marche A. Palestrini University of Teramo
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