Lotti, Francesca; Santarelli, Enrico; Vivarelli, Marco - Max-Planck-Institut für Ökonomik <Jena> - 2004
According to Gibrat' Law of Proportionate Effect, the growth rate of a given firm is independent of its size at the beginning of the period examined. In contrast to the previous literature on the subject, this paper seeks to test the Law by taking account of both the entry process and the role...