di Giovanni, Julian; Levchenko, Andrei A.; Rancière, Romain - In: Journal of International Economics 85 (2011) 1, pp. 42-52
Existing estimates of power laws in firm size typically ignore the impact of international trade. Using a simple theoretical framework, we show that international trade systematically affects the distribution of firm size: the power law exponent among exporting firms should be strictly lower in...