 Small Business and Job Creation: Dissecting the Myth and Reassessing the FactsSteven Davis, John Haltiwanger and Scott Schuh Small Business Economics, 1996, vol. 8, issue 4, 297-315 Abstract: This paper investigates how job creation and destruction behavior varies by employer size in the U.S. manufacturing sector during the period 1972 to 1988. The paper also evaluates the empirical basis for conventional claims about the job-creating prowess of small businesses. The chief findings and conclusions fall into five categories: (1) Conventional wisdom about the job-creating prowess of small business rests on misleading interpretations of the data. (2) Many previous studies of the job creation process rely upon data that are not suitable for drawing inferences about the relationship between employer size and job creation. (3) Large plants and firms account for most newly-created and newly-destroyed manufacturing jobs. (4) Survival rates for new and existing manufacturing jobs increase sharply with employer size. Smaller manufacturing firms and plants exhibit sharply higher gross rates of job creation but not higher net rates. Copyright 1996 by Kluwer Academic Publishers Date: 1996 There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it. Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:kap:sbusec:v:8:y:1996:i:4:p:297-315 Ordering information: This journal article can be ordered from Access Statistics for this article Small Business Economics is currently edited by Zoltan J. Acs and David B. Audretsch More articles in Small Business Economics from Springer |
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