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Who Creates Jobs? Small vs. Large vs. Young

John Haltiwanger, Ron Jarmin () and Javier Miranda

No 16300, NBER Working Papers from National Bureau of Economic Research, Inc

Abstract: The view that small businesses create the most jobs remains appealing to policymakers and small business advocates. Using data from the Census Bureau Business Dynamics Statistics and Longitudinal Business Database, we explore the many issues at the core of this ongoing debate. We find that the relationship between firm size and employment growth is sensitive to these issues. However, our main finding is that once we control for firm age there is no systematic relationship between firm size and growth. Our findings highlight the important role of business startups and young businesses in U.S. job creation.

JEL-codes: E24 L25 L26 (search for similar items in EconPapers)
Date: 2010-08
Note: EFG LS PR
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Published as “Who Creates Jobs? Small vs. Large vs. Young” (co-authored with Ron Jarmin and Javier Miranda), Review of Economics and Statistics, 2013, 347-361.

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