Does Gibrat's law hold among urban social economy enterprises? A research note on Montreal social economy.
Résumé
Our paper extends previous researches by taking int
o account the multidimensional dynamic of social ec
onomy:
volunteering, employment and income. We estimate a
Cragg's model with a simultaneous growth equations
system
and a hurdle equation on the two waves of the Montr
eal survey on social economy. Our main empirical re
sults are
twofold: First we highlight an average decrease in
income and employment (although with an increase in
volunteering)
for the whole population. Second, our model allows
us to reject the Gibrat's Law for our urban social
economy
enterprises population. It is as if there is an app
arent convergence effect with three different growt
h trajectories for the
various organizational forms of the social economy.
The largest organizations seem to suffer more from
the crisis than
the smaller ones, even if the latter are more expos
ed to the hazard of disappearing.