relation: http://eprints.imtlucca.it/825/
title: Innovation and corporate dynamics: a theoretical framework
creator: Growiec, Jakub
creator: Pammolli, Fabio
creator: Riccaboni, Massimo
subject: HB Economic Theory
subject: HD28 Management. Industrial Management
subject: QA Mathematics
description: We provide a detailed analysis of a generalized proportional growth model (GPGM) of innovation and corporate dynamics that encompasses the Gibrat’s Law of Proportionate Effect and the Simon growth process as particular instances. The predictions of the model are derived in terms of (i) firm size distribution, (ii) the distribution of firm growth rates, and (iii-iv) the relationships between firm size and the mean and variance of firm growth rates. We test the model against data from the worldwide pharmaceutical industry and find its predictions to be in good agreement with empirical evidence on all four dimensions.
date: 2011
type: Working Paper
type: NonPeerReviewed
format: application/pdf
language: en
identifier: http://eprints.imtlucca.it/825/1/MPRA_paper_2011.pdf
identifier:   Growiec, Jakub and Pammolli, Fabio and Riccaboni, Massimo  Innovation and corporate dynamics: a theoretical framework.  Working Paper  # /2011        (Unpublished)   
relation: http://mpra.ub.uni-muenchen.de/30046/