relation: http://eprints.imtlucca.it/685/
title: The growth of business firms: Theoretical framework and empirical evidence
creator: Pammolli, Fabio
creator: Fu, Dongfeng
creator: Buldyrev, Sergey V.
creator: Riccaboni, Massimo
creator: Matia, Kaushik
creator: Yamasaki, Kazuko
creator: Stanley, H. Eugene
subject: HB Economic Theory
subject: HF Commerce
subject: QC Physics
description: We introduce a model of proportional growth to explain the distribution Pg(g) of business-firm growth rates. The model predicts that Pg(g) is exponential in the central part and depicts an asymptotic power-law behavior in the tails with an exponent ζ = 3. Because of data limitations, previous studies in this field have been focusing exclusively on the Laplace shape of the body of the distribution. In this article, we test the model at different levels of aggregation in the economy, from products to firms to countries, and we find that the predictions of the model agree with empirical growth distributions and size-variance relationships.
publisher: National Academy of Sciences
date: 2005
type: Article
type: PeerReviewed
identifier:   Pammolli, Fabio and Fu, Dongfeng and Buldyrev, Sergey V. and Riccaboni, Massimo and Matia, Kaushik and Yamasaki, Kazuko and Stanley, H. Eugene  The growth of business firms: Theoretical framework and empirical evidence.  Proceedings of the National Academy of Sciences, 102 (52).  pp. 18801-18806.  ISSN 1091-6490      (2005)  
relation: http://www.pnas.org/content/102/52/18801.abstract
relation: 10.1073/pnas.0509543102