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Author: | Petrunia, R. |
Title: | Does Gibrat's law hold? Evidence from Canadian retail and manufacturing firms |
Journal: | Small business economics
2008 : FEB, VOL. 30:2, p. 201-214 |
Index terms: | Canada company growth manufacturing retailing |
Language: | eng |
Abstract: | This article examines the validity of Gibrat's Law, and whether it holds for companies in manufacturing, and specifically in retailing sectors. Using a longitudinal firm-level data from Canada, the study comes to a conclusion that the Gibrat's Law doesn't hold for neither sectors. Violations of Gibrat's Law contain growth rates that depend on company size, growth variability that depends on company size, and a negative persistence of company growth. |
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