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Gibrat’s law for countries

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  • Rafael González-Val

    ()

  • Marcos Sanso-Navarro

    ()

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.

(This abstract was borrowed from another version of this item.)

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File URL: http://hdl.handle.net/10.1007/s00148-009-0246-7
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Bibliographic Info

Article provided by Springer in its journal Journal of Population Economics.

Volume (Year): 23 (2010)
Issue (Month): 4 (September)
Pages: 1371-1389

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Handle: RePEc:spr:jopoec:v:23:y:2010:i:4:p:1371-1389

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Related research

Keywords: Girat’s law; Country size; C12; F00; R12;

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References

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  1. Luis Lanaspa & Fernando Pueyo & Fernando Sanz, 2002. "Evolution of the Spanish Urban Structure During the Twentieth Century," Documentos de Trabajo dt2002-01, Facultad de Ciencias Económicas y Empresariales, Universidad de Zaragoza.
  2. Duncan Black & Vernon Henderson, 2003. "Urban evolution in the USA," Journal of Economic Geography, Oxford University Press, vol. 3(4), pages 343-372, October.
  3. Eaton, Jonathan & Eckstein, Zvi, 1997. "Cities and growth: Theory and evidence from France and Japan," Regional Science and Urban Economics, Elsevier, vol. 27(4-5), pages 443-474, August.
  4. Xavier Gabaix & Rustam Ibragimov, 2007. "Rank-1/2: A Simple Way to Improve the OLS Estimation of Tail Exponents," NBER Technical Working Papers 0342, National Bureau of Economic Research, Inc.
  5. Danny Quah, 1992. "Empirical cross-section dynamics in economic growth," Discussion Paper / Institute for Empirical Macroeconomics 75, Federal Reserve Bank of Minneapolis.
  6. George Petrakos & Prodromos Mardakis & Helen Caraveli, 2000. "Recent developments in the Greek system of urban centres," Environment and Planning B: Planning and Design, Pion Ltd, London, vol. 27(2), pages 169-181, March.
  7. Serena Ng & Pierre Perron, 1997. "Lag Length Selection and the Construction of Unit Root Tests with Good Size and Power," Boston College Working Papers in Economics 369, Boston College Department of Economics, revised 01 Sep 2000.
  8. Alesina, Alberto & Spolaore, Enrico & Wacziarg, Romain, 2005. "Trade, Growth and the Size of Countries," Handbook of Economic Growth, in: Philippe Aghion & Steven Durlauf (ed.), Handbook of Economic Growth, edition 1, volume 1, chapter 23, pages 1499-1542 Elsevier.
  9. Choi, In, 2001. "Unit root tests for panel data," Journal of International Money and Finance, Elsevier, vol. 20(2), pages 249-272, April.
  10. Paul Cheshire & Stefano Magrini, 2006. "Population growth in European cities: Weather matters - but only nationally," Regional Studies, Taylor and Francis Journals, vol. 40(1), pages 23-37.
  11. Xavier Gabaix & Yannis M. Ioannides, 2003. "The Evolution of City Size Distributions," Discussion Papers Series, Department of Economics, Tufts University 0310, Department of Economics, Tufts University.
  12. Jan Eeckhout, 2004. "Gibrat's Law for (All) Cities," American Economic Review, American Economic Association, vol. 94(5), pages 1429-1451, December.
  13. Anderson, Gordon & Ge, Ying, 2005. "The size distribution of Chinese cities," Regional Science and Urban Economics, Elsevier, vol. 35(6), pages 756-776, November.
  14. Klaus Jaeger & Wolfgang Kuhle, 2009. "The optimum growth rate for population reconsidered," Journal of Population Economics, Springer, vol. 22(1), pages 23-41, January.
  15. Im, Kyung So & Pesaran, M. Hashem & Shin, Yongcheol, 2003. "Testing for unit roots in heterogeneous panels," Journal of Econometrics, Elsevier, vol. 115(1), pages 53-74, July.
  16. Ioannides, Yannis M. & Overman, Henry G., 2003. "Zipf's law for cities: an empirical examination," Regional Science and Urban Economics, Elsevier, vol. 33(2), pages 127-137, March.
  17. Pesaran, M.H., 2004. "‘General Diagnostic Tests for Cross Section Dependence in Panels’," Cambridge Working Papers in Economics 0435, Faculty of Economics, University of Cambridge.
  18. Xavier Gabaix, 1999. "Zipf'S Law For Cities: An Explanation," The Quarterly Journal of Economics, MIT Press, vol. 114(3), pages 739-767, August.
  19. M. Hashem Pesaran, 2007. "A simple panel unit root test in the presence of cross-section dependence," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 22(2), pages 265-312.
  20. Henderson, J. Vernon & Wang, Hyoung Gun, 2007. "Urbanization and city growth: The role of institutions," Regional Science and Urban Economics, Elsevier, vol. 37(3), pages 283-313, May.
  21. repec:ebl:ecbull:v:15:y:2003:i:6:p:1-7 is not listed on IDEAS
  22. Davide Furceri, 2008. "Zipf's law and world income distribution," Applied Economics Letters, Taylor and Francis Journals, vol. 15(12), pages 921-923.
  23. Banerjee, Anindya & Massimiliano Marcellino & Chiara Osbat, 2002. "Testing for PPP: Should We Use Panel Methods?," Royal Economic Society Annual Conference 2002 13, Royal Economic Society.
  24. Jan Eeckhout, 2009. "Gibrat's Law for (All) Cities: Reply," American Economic Review, American Economic Association, vol. 99(4), pages 1676-83, September.
  25. Rose, Andrew K, 2005. "Cities and Countries," CEPR Discussion Papers 5235, C.E.P.R. Discussion Papers.
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Citations

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Cited by:
  1. Daniel ARRIBAS-BEL & Fernando SANZ GRACIA & Domingo P. XIMENEZ-DE-EMBUN, 2012. "Kangaroos, Cities And Space: A First Approach To The Australian Urban System," Region et Developpement, Region et Developpement, LEAD, Universite du Sud - Toulon Var, vol. 36, pages 165-187.
  2. Rafael GONZÀLEZ-VAL, 2012. "Zipf’S Law: Main Issues In Empirical Work," Region et Developpement, Region et Developpement, LEAD, Universite du Sud - Toulon Var, vol. 36, pages 147-164.
  3. Clemente, Jesús & González-Val, Rafael & Olloqui, Irene, 2008. "Zipf’s and Gibrat’s laws for migrations," MPRA Paper 9731, University Library of Munich, Germany.

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