IDEAS home Printed from https://ideas.repec.org/a/bla/presci/v99y2020i4p1087-1111.html
   My bibliography  Save this article

Is Gibrat's law robust when cities interact each other?

Author

Listed:
  • Vanessa Grüdtner
  • André M. Marques

Abstract

Gibrat's law asserts that the growth of a city is independent of its initial size, but the populations of cities display a pattern of systematic agglomeration. This pattern may emerge because some cities are more attractive than others. We analyse the relationship between the growth and size of 1,188 cities in the South Region of Brazil using municipal data between 2000 and 2010. The selected model is the spatial Durbin model (SDM) that controls for temporal and spatial dependence, relevant omitted variables, economic factors, local amenities and externalities. The results indicate that Gibrat's law is not robust when cities interact. La ley de Gibrat afirma que el crecimiento de una ciudad es independiente de su tamaño inicial, pero que las poblaciones de las ciudades muestran un patrón de aglomeración sistemática. Este patrón puede surgir porque algunas ciudades son más atractivas que otras. En este estudio se analizó la relación entre el crecimiento y el tamaño de 1188 ciudades de la Región Sur de Brasil, para lo cual se utilizaron datos municipales entre 2000 y 2010. El modelo seleccionado fue un modelo espacial de Durbin (SDM, por sus siglas en inglés) en el que se controló la dependencia temporal y espacial, las variables omitidas relevantes, los factores económicos, los servicios locales y las externalidades. Los resultados indican que la ley de Gibrat no es robusta cuando hay interacción entre ciudades. ジブラ法則は、都市の成長は元のサイズには依存しないが、都市の人口は体系的な集積パターン示すことを主張している。このパターンは、ある都市が他の年に比べて魅力的であるために出現する可能性がある。本稿では、2000~2010年の地方自治体のデータを用いて、ブラジル南部地域の1,188の都市の成長とサイズの関連性を分析する。時間的および空間的依存性、省略された重要な変数、経済的要因、地域のアメニティおよび外部性を制御するモデルとして空間Durbinモデル (SDM)を選択した。結果から、都市間の相互作用が起こる場合、ジブラ法則は頑健ではないことが示される。

Suggested Citation

  • Vanessa Grüdtner & André M. Marques, 2020. "Is Gibrat's law robust when cities interact each other?," Papers in Regional Science, Wiley Blackwell, vol. 99(4), pages 1087-1111, August.
  • Handle: RePEc:bla:presci:v:99:y:2020:i:4:p:1087-1111
    DOI: 10.1111/pirs.12518
    as

    Download full text from publisher

    File URL: https://doi.org/10.1111/pirs.12518
    Download Restriction: no

    File URL: https://libkey.io/10.1111/pirs.12518?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. da Mata, D. & Deichmann, U. & Henderson, J.V. & Lall, S.V. & Wang, H.G., 2007. "Determinants of city growth in Brazil," Journal of Urban Economics, Elsevier, vol. 62(2), pages 252-272, September.
    2. Kwok Tong Soo, 2014. "Zipf, Gibrat and geography: Evidence from China, India and Brazil," Papers in Regional Science, Wiley Blackwell, vol. 93(1), pages 159-181, March.
    3. Koenker, Roger W & Bassett, Gilbert, Jr, 1978. "Regression Quantiles," Econometrica, Econometric Society, vol. 46(1), pages 33-50, January.
    4. Fujita, Masahisa & Thisse, Jacques-François, 2009. "New Economic Geography: An appraisal on the occasion of Paul Krugman's 2008 Nobel Prize in Economic Sciences," Regional Science and Urban Economics, Elsevier, vol. 39(2), pages 109-119, March.
    5. Jan Eeckhout, 2004. "Gibrat's Law for (All) Cities," American Economic Review, American Economic Association, vol. 94(5), pages 1429-1451, December.
    6. Stanislav Stakhovych & Tammo H.A. Bijmolt, 2009. "Specification of spatial models: A simulation study on weights matrices," Papers in Regional Science, Wiley Blackwell, vol. 88(2), pages 389-408, June.
    7. Rappaport, Jordan & Sachs, Jeffrey D, 2003. "The United States as a Coastal Nation," Journal of Economic Growth, Springer, vol. 8(1), pages 5-46, March.
    8. Evert Meijers & Martijn Burger & Gilles Duranton, 2016. "Determinants of city growth in Colombia," Papers in Regional Science, Wiley Blackwell, vol. 95(1), pages 101-131, March.
    9. Rafael Gonz�lez-Val & Luis Lanaspa, 2016. "Patterns in US Urban Growth, 1790-2000," Regional Studies, Taylor & Francis Journals, vol. 50(2), pages 289-309, February.
    10. 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.
    11. James Lesage & Manfred Fischer, 2008. "Spatial Growth Regressions: Model Specification, Estimation and Interpretation," Spatial Economic Analysis, Taylor & Francis Journals, vol. 3(3), pages 275-304.
    12. Guy Michaels & Ferdinand Rauch & Stephen J. Redding, 2012. "Urbanization and Structural Transformation," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 127(2), pages 535-586.
    13. Thisse, Jacques-François & Fujita, Masahisa, 2008. "New Economic Geography: an appraisal on the occasion of Paul Krugman's 2008 Nobel Prize in Economics," CEPR Discussion Papers 7063, C.E.P.R. Discussion Papers.
    14. Chauvin, Juan Pablo & Glaeser, Edward & Ma, Yueran & Tobio, Kristina, 2017. "What is different about urbanization in rich and poor countries? Cities in Brazil, China, India and the United States," Journal of Urban Economics, Elsevier, vol. 98(C), pages 17-49.
    15. Boris Portnov & Ben Reiser & Moshe Schwartz, 2012. "Does Gibrat’s law for cities hold when location counts?," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 48(1), pages 151-178, February.
    16. María Ayuda & Fernando Collantes & Vicente Pinilla, 2010. "Long-run regional population disparities in Europe during modern economic growth: a case study of Spain," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 44(2), pages 273-295, April.
    17. Duncan Black & Vernon Henderson, 2003. "Urban evolution in the USA," Journal of Economic Geography, Oxford University Press, vol. 3(4), pages 343-372, October.
    18. Nikolay K. Vitanov & Marcel Ausloos, 2015. "Test of two hypotheses explaining the size of populations in a system of cities," Journal of Applied Statistics, Taylor & Francis Journals, vol. 42(12), pages 2686-2693, December.
    19. Desmet, Klaus & Rappaport, Jordan, 2017. "The settlement of the United States, 1800–2000: The long transition towards Gibrat’s law," Journal of Urban Economics, Elsevier, vol. 98(C), pages 50-68.
    20. Anselin, Luc & Bera, Anil K. & Florax, Raymond & Yoon, Mann J., 1996. "Simple diagnostic tests for spatial dependence," Regional Science and Urban Economics, Elsevier, vol. 26(1), pages 77-104, February.
    21. Mark Roberts, 2004. "The Growth Performances of the GB Counties: Some New Empirical Evidence for 1977-1993," Regional Studies, Taylor & Francis Journals, vol. 38(2), pages 149-165.
    22. J. Elhorst, 2010. "Applied Spatial Econometrics: Raising the Bar," Spatial Economic Analysis, Taylor & Francis Journals, vol. 5(1), pages 9-28.
    23. Giesen, Kristian & Zimmermann, Arndt & Suedekum, Jens, 2010. "The size distribution across all cities - Double Pareto lognormal strikes," Journal of Urban Economics, Elsevier, vol. 68(2), pages 129-137, September.
    24. Dutt, Amitava Krishna, 1992. "A Kaldorian Model of Growth and Development Revisited: Comment," Oxford Economic Papers, Oxford University Press, vol. 44(1), pages 156-168, January.
    25. Bianca Biagi & Alessandra Faggian & Philip McCann, 2011. "Long and Short Distance Migration in Italy: The Role of Economic, Social and Environmental Characteristics," Spatial Economic Analysis, Taylor & Francis Journals, vol. 6(1), pages 111-131.
    26. Bacha, Edmar, 1997. "Plano Real: uma segunda avaliação," Coediciones, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL), number 1541, July.
    27. Solmaria Halleck Vega & J. Paul Elhorst, 2015. "The Slx Model," Journal of Regional Science, Wiley Blackwell, vol. 55(3), pages 339-363, June.
    28. González-Val, Rafael & Lanaspa, Luis & Sanz, Fernando, 2008. "New Evidence on Gibrat’s Law for Cities," MPRA Paper 10411, University Library of Munich, Germany.
    29. Donald R. Davis & David E. Weinstein, 2002. "Bones, Bombs, and Break Points: The Geography of Economic Activity," American Economic Review, American Economic Association, vol. 92(5), pages 1269-1289, December.
    30. Alexandra Schaffar & Michel Dimou, 2012. "Rank-size City Dynamics in China and India, 1981--2004," Regional Studies, Taylor & Francis Journals, vol. 46(6), pages 707-721, August.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Rafael Gonz�lez-Val & Luis Lanaspa, 2016. "Patterns in US Urban Growth, 1790-2000," Regional Studies, Taylor & Francis Journals, vol. 50(2), pages 289-309, February.
    2. Ronan Lyons & Elisa Maria Tirindelli, 2022. "The Rise & Fall of Urban Concentration in Britain: Zipf, Gibrat and Gini across two centuries," Trinity Economics Papers tep0522, Trinity College Dublin, Department of Economics.
    3. Ho Yeon KIM & Petra de Jong & Jan Rouwendal & Aleid Brouwer, 2012. "Shrinking population and the urban hierarchy [Housing preferences and attribute importance among Dutch older adults: a conjoint choice experiment]," ERSA conference papers ersa12p350, European Regional Science Association.
    4. Guy Michaels & Ferdinand Rauch & Stephen J. Redding, 2012. "Urbanization and Structural Transformation," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 127(2), pages 535-586.
    5. Rafael González-Val & Luis Lanaspa & Fernando Sanz-Gracia, 2014. "New Evidence on Gibrat’s Law for Cities," Urban Studies, Urban Studies Journal Limited, vol. 51(1), pages 93-115, January.
    6. Sánchez-Vidal, María & González-Val, Rafael & Viladecans-Marsal, Elisabet, 2014. "Sequential city growth in the US: Does age matter?," Regional Science and Urban Economics, Elsevier, vol. 44(C), pages 29-37.
    7. Marques, André M., 2022. "Is income inequality good or bad for growth? Further empirical evidence using data for all Brazilian cities," Structural Change and Economic Dynamics, Elsevier, vol. 62(C), pages 360-376.
    8. González-Val, Rafael & Lanaspa, Luis & Sanz, Fernando, 2008. "New Evidence on Gibrat’s Law for Cities," MPRA Paper 10411, University Library of Munich, Germany.
    9. Yi Jiang, 2021. "Asian cities: spatial dynamics and driving forces," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 66(3), pages 609-654, June.
    10. Daniel Broxterman & Anthony Yezer, 2021. "Human capital divergence and the size distribution of cities: Is Gibrat’s law obsolete?," Urban Studies, Urban Studies Journal Limited, vol. 58(12), pages 2549-2568, September.
    11. Rafael González-Val & Arturo Ramos & Fernando Sanz-Gracia & María Vera-Cabello, 2015. "Size distributions for all cities: Which one is best?," Papers in Regional Science, Wiley Blackwell, vol. 94(1), pages 177-196, March.
    12. Desmet, Klaus & Rappaport, Jordan, 2017. "The settlement of the United States, 1800–2000: The long transition towards Gibrat’s law," Journal of Urban Economics, Elsevier, vol. 98(C), pages 50-68.
    13. Lee, Sanghoon & Li, Qiang, 2013. "Uneven landscapes and city size distributions," Journal of Urban Economics, Elsevier, vol. 78(C), pages 19-29.
    14. Duranton, Gilles & Puga, Diego, 2014. "The Growth of Cities," Handbook of Economic Growth, in: Philippe Aghion & Steven Durlauf (ed.), Handbook of Economic Growth, edition 1, volume 2, chapter 5, pages 781-853, Elsevier.
    15. repec:esx:essedp:729 is not listed on IDEAS
    16. Rafael González‐Val, 2019. "Historical urban growth in Europe (1300–1800)," Papers in Regional Science, Wiley Blackwell, vol. 98(2), pages 1115-1136, April.
    17. Breinlich, Holger & Ottaviano, Gianmarco I.P. & Temple, Jonathan R.W., 2014. "Regional Growth and Regional Decline," Handbook of Economic Growth, in: Philippe Aghion & Steven Durlauf (ed.), Handbook of Economic Growth, edition 1, volume 2, chapter 4, pages 683-779, Elsevier.
    18. Kim, Ho Yeon, 2012. "Shrinking population and the urban hierarchy," IDE Discussion Papers 360, Institute of Developing Economies, Japan External Trade Organization(JETRO).
    19. Desmet, Klaus & Henderson, J. Vernon, 2015. "The Geography of Development Within Countries," Handbook of Regional and Urban Economics, in: Gilles Duranton & J. V. Henderson & William C. Strange (ed.), Handbook of Regional and Urban Economics, edition 1, volume 5, chapter 0, pages 1457-1517, Elsevier.
    20. Cuberes, David & Desmet, Klaus & Rappaport, Jordan, 2021. "Urban growth shadows," Journal of Urban Economics, Elsevier, vol. 123(C).
    21. Ramos, Arturo & Sanz-Gracia, Fernando & González-Val, Rafael, 2013. "A new framework for the US city size distribution: Empirical evidence and theory," MPRA Paper 52190, University Library of Munich, Germany.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:presci:v:99:y:2020:i:4:p:1087-1111. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: http://www.blackwellpublishing.com/journal.asp?ref=1056-8190 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.