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| Author: | Calvo, J.L. |
| Title: | Testing Gibrat's Law for small, young and innovating firms |
| Journal: | Small business economics
2006 : MAR, VOL. 26:2, p. 117-123 |
| Index terms: | new enterprise small business innovation manufacturing Spain |
| Language: | eng |
| Abstract: | In this article, it is analyzed whether small, young, and innovating firms have experienced a greater employment growth than other Spanish firms during 1990-2000. The study draws on a sample of 1272 manufacturing firms out of which only 967 firms survived for the entire 10 year period. The results reject Gibrat's law, supporting the proposition that small firms have grown larger. In addition, the results show that old firms grow less than young ones, and innovating activity is a strong positive factor in the firm's employment growth and its survival. |
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