Discussion Paper Details

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Title: Cities and Countries

Author(s): Andrew K Rose

Publication Date: September 2005

Keyword(s): distribution, empirical, Gibrat, growth, logarithm, mean, rank, size and Zipf

Programme Area(s): International Macroeconomics and International Trade and Regional Economics

Abstract: If one ranks cities by population, the rank of a city is inversely related to its size, a well-documented phenomenon known as Zipf's Law. Further, the growth rate of a city's population is uncorrelated with its size, another well-known characteristic known as Gibrat's Law. In this paper, I show that both characteristics are true of countries as well as cities; the size distributions of cities and countries are similar. But theories that explain the size-distribution of cities do not obviously apply in explaining the size-distribution of countries. The similarity of city- and country-size distributions is an interesting riddle.

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Bibliographic Reference

Rose, A. 2005. 'Cities and Countries'. London, Centre for Economic Policy Research.