Firm Size Distribution in Small Samples

10 Pages Posted: 8 Oct 2004

See all articles by Luigi Buzzacchi

Luigi Buzzacchi

Polytechnic University of Turin

Tommaso M. Valletti

Imperial College Business School; Centre for Economic Policy Research (CEPR)

Abstract

Sutton (1998) has recently proposed a theoretical lower bound to firm size inequality when a market is made of several independent submarkets. His results are valid asymptotically, as the number of submarkets becomes arbitrarily large. We show that, in small samples, his results can be interpreted as a positive relationship between an index of firm size inequality and the number of submarkets. We also test this relationship in the Italian motor insurance market.

Suggested Citation

Buzzacchi, Luigi and Valletti, Tommaso M., Firm Size Distribution in Small Samples. Bulletin of Economic Research, Vol. 56, No. 4, pp. 301-309, October 2004. Available at SSRN: https://ssrn.com/abstract=598362

Luigi Buzzacchi (Contact Author)

Polytechnic University of Turin ( email )

Corso Duca degli Abruzzi, 24
Torino, Torino 10129
Italy

Tommaso M. Valletti

Imperial College Business School ( email )

South Kensington Campus
Exhibition Road
London SW7 2AZ, SW7 2AZ
United Kingdom

Centre for Economic Policy Research (CEPR)

London
United Kingdom

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