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Gibrat’s law for countries


  • González-Val, Rafael
  • Sanso-Navarro, Marcos


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.

Suggested Citation

  • González-Val, Rafael & Sanso-Navarro, Marcos, 2008. "Gibrat’s law for countries," MPRA Paper 9733, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:9733

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    References listed on IDEAS

    1. 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.
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    3. Jan Eeckhout, 2004. "Gibrat's Law for (All) Cities," American Economic Review, American Economic Association, vol. 94(5), pages 1429-1451, December.
    4. Klaus Jaeger & Wolfgang Kuhle, 2009. "The optimum growth rate for population reconsidered," Journal of Population Economics, Springer;European Society for Population Economics, vol. 22(1), pages 23-41, January.
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    7. Xavier Gabaix & Rustam Ibragimov, 2011. "Rank - 1 / 2: A Simple Way to Improve the OLS Estimation of Tail Exponents," Journal of Business & Economic Statistics, Taylor & Francis Journals, vol. 29(1), pages 24-39, January.
    8. 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.
    9. 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.
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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. Aloysius Gunadi Brata & Henri L.F. de Groot & Piet Rietveld, 2013. "Dynamics in Aceh and North Sumatera after the Twin Disasters: An Investigation into the Relevance of the Locational Fundamental Theory," Tinbergen Institute Discussion Papers 13-115/VIII, Tinbergen Institute.
    3. 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.
    4. Jesús Clemente & Rafael González-Val & Irene Olloqui, 2011. "Zipf’s and Gibrat’s laws for migrations," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 47(1), pages 235-248, August.
    5. 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.
    6. Rafael González‐Val, 2010. "The Evolution Of U.S. City Size Distribution From A Long‐Term Perspective (1900–2000)," Journal of Regional Science, Wiley Blackwell, vol. 50(5), pages 952-972, December.

    More about this item


    Gibrat�'s Law; Country Size; Non-stationary Panels; Non-parametric Methods;

    JEL classification:

    • F00 - International Economics - - General - - - General
    • C14 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Semiparametric and Nonparametric Methods: General
    • C12 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Hypothesis Testing: General
    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)

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