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Gibrat’s law for countries

González-Val, Rafael and Sanso-Navarro, Marcos (2008): Gibrat’s law for countries.

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Abstract

If the population of a given country evolves according to Gibrat'�s Law, its growth rate will be independent of its initial size. This short paper further investigates this empirical regularity by the application of a suitable panel unit root test and non-parametric methods. The evidence regarding its fulfilment is weaker than that previously found.

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