TY  - JOUR
ID  - eprints639
SP  - 574
VL  - 5
SN  - 1542-4766
JF  - Journal of the European Economic Association
Y1  - 2007///
PB  - MIT Press
A1  - Pammolli, Fabio
A1  - Buldyrev, Sergey V.
A1  - Growiec, Jakub
A1  - Riccaboni, Massimo
A1  - Stanley, H. Eugene
AV  - none
EP  - 584
N2  - We refer to the framework developed by Ijiri and Simon (1977) and to the notion of independent submarkets (Sutton 1998) to provide a simple candidate explanation for the shape of the firm growth distribution based on a model of proportional growth at the level of both the introduction of new products by firms and their size dynamics. We exploit the features of a unique longitudinal data set which covers the entire distribution of products and firms in the worldwide pharmaceutical industry to test the model at different levels of aggregation as well as at different time lags. Econometric investigations show that the model's predictions are in good agreement with empirical evidence. (JEL: L11, L65)
TI  - The Growth of Business Firms: Facts and Theory
UR  - http://dx.doi.org/10.1162/jeea.2007.5.2-3.574
IS  - 2-3
ER  -