Malevergne, Y.; Saichev, A.; Sornette, D. - In: Journal of Economic Dynamics and Control 37 (2013) 6, pp. 1195-1212
Zipf's law states that the number of firms with size greater than S is inversely proportional to S. Most explanations start with Gibrat's rule of proportional growth but require additional constraints. We show that Gibrat's rule, at all firm levels, yields Zipf's law under a balance condition...