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The Industry Life-Cycle of the Size Distribution of Firms

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  • Glenn MacDonald
  • Emin Dinlersoz

Abstract

This paper analyzes the evolution of the distributions of output and employment across firms in U.S. manufacturing industries from 1963 until 1997. The evolutions of the employment and output distributions differ, but display strong inter-industry regularities, including that the nature of the evolution depends whether the industry is experiencing growth, shakeout, maturity, or decline. The observed patterns have implications for theories of industry dynamics and evolution.

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File URL: ftp://ftp2.census.gov/ces/wp/2005/CES-WP-05-10.pdf
File Function: First version, 2005
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Bibliographic Info

Paper provided by Center for Economic Studies, U.S. Census Bureau in its series Working Papers with number 05-10.

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Length: 62 pages
Date of creation: Jul 2005
Date of revision:
Handle: RePEc:cen:wpaper:05-10

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Keywords: Firm size distribution; industry evolution; industry dynamics; manufacturing industries;

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References

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Citations

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Cited by:
  1. Qi Li & Patrick Paul Walsh, 2009. "The Firm Size Distribution in a Small Open Economy: Theory and Evidence," Working Papers, Geary Institute, University College Dublin 200920, Geary Institute, University College Dublin.
  2. Barbosa, Natália & Faria, Ana Paula, 2011. "Innovation across Europe: How important are institutional differences?," Research Policy, Elsevier, Elsevier, vol. 40(9), pages 1157-1169.
  3. Bos Jaap W.B. & Stam Erik, 2011. "Gazelles, Industry Growth and Structural Change," Research Memorandum 018, Maastricht University, Maastricht Research School of Economics of Technology and Organization (METEOR).
  4. Natália Barbosa & Ana Paula Faria & Vasco Eiriz, 2013. "Industry - and firm-specific factors of innovation novelty," NIPE Working Papers, NIPE - Universidade do Minho 10/2013, NIPE - Universidade do Minho.
  5. Finbarr Livesey, 2012. "Rationales for Industrial Policy Based on Industry Maturity," Journal of Industry, Competition and Trade, Springer, Springer, vol. 12(3), pages 349-363, September.
  6. Segarra, Agustí & Teruel, Mercedes, 2012. "An appraisal of firm size distribution: Does sample size matter?," Journal of Economic Behavior & Organization, Elsevier, Elsevier, vol. 82(1), pages 314-328.
  7. Forbes, Daniel P. & Kirsch, David A., 2011. "The study of emerging industries: Recognizing and responding to some central problems," Journal of Business Venturing, Elsevier, vol. 26(5), pages 589-602, September.

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