| This thesis is an empirical study employing a new estimator for the analysis of firm level turnover as proposed by Shonkwiler in his paper A Statistical Model of Firm Turnover Using Market Level Data. We extend the period of time from Shonkwiler's model in order to hopefully come up with more useful results due to the longer time period in which the market is allowed to work. We estimate both univariate and multivariate discrete normal models for the integer differences in the numbers of chiropractors, dentists, optometrists, and pharmacists practicing in rural counties in states west of the Mississippi River between 1998 and 2003. We find that our results are not much improved over those of Shonkwiler, and that perhaps further study is warranted. Despite mixed results, our findings do support the claim that entry and exit are positively correlated, as seen in other literature on firm turnover. |
